One Problem for Economic Stability Is That in a Period

question 183

Multiple Choice

One problem for economic stability is that in a period of inflation,

• A)banks will be tempted to increase lending in order to increase profits.
• B)banks will be tempted to decrease lending in order to increase profits.
• C)profit-oriented banks will tend to hold excess reserves and decrease the money supply.
• D)deposits will decrease and banks will have to reduce lending.

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Definitions:

Ethics Audit

A systematic evaluation of an organization's ethics programs and practices, intended to identify potential risks and areas for improvement in ethical conduct.

Ethics Auditing

The systematic examination and evaluation of an organization's ethical policies, practices, and performance to ensure accountability and alignment with ethical standards.

Financial Auditing

The process of examining an organization's financial statements to ensure they are accurate and conform to laws and regulations.

Ethics Audit

A systematic evaluation of an organization's ethics policies and practices, aiming to identify ethical strengths and weaknesses.