In Your Opinion,is Canada a Closed System or an Open

question 10

Essay

In your opinion,is Canada a closed system or an open system and why? Describe how Canada may possess both elements of caste and meritocracy through social stratification.Provide examples to support your answer.

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Definitions:

Excess Reserves

The funds that banks hold over and above the required reserve ratio set by the central bank, which can be loaned out or invested.

Required Reserves

The portion of depositors' balances that banks must have on hand as cash or in reserves at a central bank, used as a measure to ensure liquidity.

Excess Reserves

Banks' reserves held at the central bank over and above the required minimum, which can influence the banks' ability to lend and thus affect the money supply.

Federal Reserve System

The central banking system of the United States, responsible for monetary policy, regulation of banks, and maintaining financial stability.