Banks Hold Excess and Secondary Reserves to

question 59

Multiple Choice

Banks hold excess and secondary reserves to

• A) reduce the interest-rate risk problem.
• B) provide for deposit outflows.
• C) satisfy margin requirements.
• D) achieve higher earnings than they can with loans.

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Definitions:

Harpers Ferry

A historic town in West Virginia, known for John Brown's raid in 1859, which was intended to initiate an armed slave revolt.

Abolitionists

Individuals and groups who advocated for the immediate end of slavery and the emancipation of slaves, active especially in the 19th century.

Executive Branch

is one of the three branches of government, tasked with enforcing laws passed by the legislature, headed by the President in the United States or similar leadership positions in other countries.

Jackson's Presidency

The period of American history from 1829 to 1837 when Andrew Jackson served as the President of the United States, noted for his populist policies and the "Trail of Tears."