If, After a Deposit Outflow, a Bank Needs an Additional

question 27

Multiple Choice

If, after a deposit outflow, a bank needs an additional $3 million to meet its desired reserves, the bank can ________.

• A) reduce deposits by $3 million
• B) increase loans by $3 million
• C) sell $3 million of securities
• D) repay its advances from the Bank of Canada

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Definitions:

Corporate Ideologies

A set of beliefs, values, and practices that guides the actions and decisions of a company.

Discourses

Ways of representing the world through language, emphasizing how power, knowledge, and social practices are intertwined.

Culture Industry

A term used by critical theorists to describe the mass production and commodification of culture under capitalism.

Rationalize

The process of justifying behaviors, decisions, or beliefs through seemingly logical or reasonable explanations, often to align them with one's own interests or values.