Aereo Enters the Broadcasting Market with a New Offer That

question 54

True/False

Aereo enters the broadcasting market with a new offer that streams the local broadcast signals to customers so that they can watch content on their PCs or tablet computers in real time or save for another viewing time.This is an example of disruptive innovation.

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Definitions:

Fractional Reserve Economy

An economic system where banks hold a portion of customers' deposits in reserve and lend out the remainder, thus creating money.

Required Reserve Ratio

The minimum fraction of deposits banks are required by law to keep as reserves, either in their vaults or on deposit at a central bank.

Term Auction Facility

A monetary policy tool used by the Federal Reserve to provide short-term loans to banks, aiming to improve liquidity and stability in financial markets.

Bank Insolvency

A situation where a bank's liabilities exceed its assets, making it unable to meet its obligations and continue its operations.