In the Absence of a Reserve Requirement, Banks Can Create

question 161

True/False

In the absence of a reserve requirement, banks can create essentially infinite amounts of money.

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Definitions:

Distal Tubule

A portion of kidney nephron between the loop of Henle and collecting duct system that plays a crucial role in the reabsorption of water, sodium, and calcium and in the secretion of potassium and hydrogen ions.

Ureter

One of two tubes that carries urine from a kidney to the bladder.

Bowman's Capsule

A cup-like sac at the beginning of the tubular component of a nephron in the kidney, which encases the glomerulus and is involved in the filtration of blood.

Ammonia

A colorless gas with a penetrating odor, NH3, which is a byproduct of nitrogenous waste in organisms and used in various industrial processes.