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Question 5 of 10

How does the fractional reserve banking process add money into an
economy?
O A. By preserving the value of deposits while loaning deposited
money to others
O B. By making sure that all loans are repaid by the borrower's next
payday
O C. By giving banks the right to print money during periods of
economic emergency
D. By ensuring that banks maintain reserves covering all of their
deposits
SUBMIT

User MBach
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2 Answers

6 votes

Answer:

A. By preserving the value of deposits while laoning deposited money to others.

Step-by-step explanation:

I Got it right on my test.

User Apocalisp
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4 votes

Answer:A

Step-by-step explanation:

User Sandeep Chikhale
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