If People Refused to Use Banks to Create Checkable Deposits

question 96

Multiple Choice

If people refused to use banks to create checkable deposits, the banking system would:

• A) not be affected in the money creating process.
• B) not have a way to loan out excess reserves.
• C) be able to expand the money supply by more than the money multiplier indicates.
• D) not be able to create new money.
• E) not be able to find new borrowers.

Understand the advantages and potential disadvantages of using network structures in organizations.

Analyze the operational and strategic implications of employing various organizational structures to achieve business objectives.

Grasp the concept of boundaryless sourcing and its impact on organizational efficiency and competitiveness.

Learn the principles of bureaucracy and its application in organizational settings.

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Definitions:

Constitutional Amendments

Alterations or additions made to a constitution, which change the system of governance or rights protected under that constitution.

National Convention

A meeting held every four years by political parties in the U.S. to nominate presidential and vice-presidential candidates.

Congress

The legislative branch of the United States federal government, consisting of two houses: the Senate and the House of Representatives.

Articles of Confederation

The original constitution of the United States, ratified in 1781, which was replaced by the U.S. Constitution in 1789 to form a stronger federal government.