Banks Create Money in the Economy By

question 25

Multiple Choice

Banks create money in the economy by:

• A)loaning out part of each deposit,which will be redeposited by someone else.
• B)charging higher interest on loans than savings.
• C)charging higher interest on savings than loans.
• D)Only the government can create money.

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Definitions:

Labor Force

The total number of people employed or seeking employment in a particular region or economy.

Manufacturing And Operations

The processes involved in the production of goods and the management of those processes, aiming at efficiency and quality.

Skilled Workers

Employees who have specialized training, knowledge, and abilities in their field, often requiring formal education or certification.

Sales Representatives

Individuals who sell products or services on behalf of a company, often working on commission.