Author Question: A bank's capital is: a. the value of all its assets, including loans. b. the value of all its ... (Read 73 times)

abc · **on:** Jun 30, 2018

A bank's capital is:
a. the value of all its assets, including loans.
b. the value of all its assets, excluding loans.
c. the value of its physical plant, including buildings, computers, and automatic teller machines.
d. the difference between its assets and liabilities.

Question 2

An outward shift of the money demand function indicates an increase in the market rate of interest and hence a decrease in the level of investment in the economy.
a. True
b. False
Indicate whether the statement is true or false