A Banking System That Provides People Immediate Access to Their

question 232

Multiple Choice

A banking system that provides people immediate access to their deposits, but that allows banks to hold only a portion of those deposits on reserve, is known as:

• A) an excess reserve system.
• B) a fractional reserve system.
• C) the Fed.
• D) the FDIC.
• E) an asset-based system.

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Definitions:

Euphemisms

Words or phrases used to avoid or soften expressions that might be considered harsh or unpleasant to hear.

Senior Citizens

Individuals who are considered to be in the later stage of life, often defined by retirement age or specific age thresholds, typically 65 and older.

Connotations

The associated or secondary meanings of a word or expression in addition to its explicit or primary meaning.

Active Voice

A grammatical voice in which the subject of the sentence performs the action expressed by the verb, often making the sentence clearer and more direct.