What Is the Name Given to Profits Earned by a Central

question 7

Multiple Choice

What is the name given to profits earned by a central bank from money creation?

• A)seigniorage
• B)interest arbitrage
• C)moral hazard
• D)fiat money

---

Definitions:

Procedural Unfairness

The perception that the processes used to make decisions or resolve disputes are unjust, biased, or lacking in transparency.

Collective Cultures

Societies or groups that prioritize the goals, values, and wellbeing of the community over individual achievements and desires.

Equity Principles

Guidelines that ensure fairness and justice within processes, distributions, or treatments in various contexts.

Interactional Unfairness

The perception that the interpersonal treatment one receives is disrespectful or lacks dignity, often in the context of decision-making.