Author Question: If the FDIC eliminated its insurance program for deposits, then A) banks would probably hold ... (Read 80 times)

azncindy619

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If the FDIC eliminated its insurance program for deposits, then
 
  A) banks would probably hold fewer reserves.
  B) moral hazard would be increased.
  C) individual depositors would have more incentive to ascertain the soundness and solvency of the bank.
  D) the banking system would probably fail.

Question 2

Consumption expenditure exceeds disposable income
 
  A) when there is dissaving.
  B) when there is positive saving.
  C) always.
  D) never.
  E) only when the economy is in equilibrium.



Qarqy

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Answer to Question 1

C

Answer to Question 2

A



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