The CDIC Was Created Because

question 76

Multiple Choice

The CDIC was created because

• A)banks failed to create money the way the Bank of Canada wanted them to.
• B)people worried about bank failures after World War I,even though very few banks actually failed.
• C)of bank runs.
• D)the Bank of Canada kept the desired reserve ratio too low.

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Definitions:

Regressive

In economics, describes a situation or policy that disproportionately affects those with lower incomes or wealth, often referring to certain tax systems.

Progressive

Relates to a context where something increases or develops in stages incrementally.

Federal Taxes

Taxes collected by the federal government, involving income tax, payroll taxes, and various other taxes.

State And Local Taxes

Various forms of taxation imposed by state, regional, and local governments, including income, sales, property, and other taxes.