what is the purpose of the national credit act

Q: credit rationing and partake of the federal bank

A: Credit rationing is a tool that is used for selective and qualitative method of credit control with…

Q: Difference between Central bank of the Philippines and Bangko Sentral ng Pilipinas.

A: Central banks provide monetary stability within an economy , every country have their own central…

Q: The legal reserve ratio is 0.2  Find the credit multiplier

A: The data presented in the question above is:- Legal reserve ratio = 0.2 Credit Multiplier is to be…

Q: xplain the the four principal tools used by Bank of Ghana for monetary policy, stating clearly how…

A: The principles tools used by bank of Ghana:

Q: What technological innovations led to the developmentof the subprime mortgage market?

A: The subprime loan market is a market that serves individuals with questionable or limited credit…

Q: The financial system must ensure the availability of efficient credit facilities to allow greater…

A: Credit Facilities: Credit facilities are loans that businesses take to run their operations. A…

Q: describe the key functions and components of the credit management process

A: Financial liabilities are used by the companies with the view to employ the finances by others’…

Q: What are the main functions of the commercial bank in the indian economy?

A: Essential Functions  1. Commercial Deposits – Commercial banks acknowledge stores from their clients…

Q: What is the most important way for an economy to recover from an economic crisis caused by credit…

A: Credit denotes a loan, while credit growth denotes the taking of more loans. Credit expansion is the…

Q: ng the ihe savings bank rate? [A] Central Government [B] Banks themselves [C] Reserve Bank of India…

A: Option B Banks themselves decide the savings Bank rate in India.  RBI regulates the interest rates…

Q: Explain what a debt crisis is and how it can trigger a banking crisis

A: For the production and consumption of goods, economic agents have derived a barter system. In the…

Q: How do you think the banking sector has evolved overtime?

A: Banking, health, and education are the major sectors that can describe the situation of a nation.…

Q: Answer Bank improving banks' profits price stability high employment increasing the size of the…

A: Monetary policy deals with the money supply circulation in a country.

Q: The central bank (CB) decided to increase the discount rate on loans it makes to commercial banks.…

A: Answer: Discount rate: It refers to the rate of interest that the central bank charges on loans that…

Q: Examine the principal-agent problem in credit markets. What impact can policies that limit how much…

A: The principal-agent problem in the credit market refers to when the interests of the principal…

Q: Distinguish between the general credit control selective credit control and examine their relative…

A: General credit control refers to a bunch of quantitative control techniques availed by a central…

Q: If in an economy bank rate is increased how will it affect the demand for credit? Explain

A: To prevent volatility, the basic goal of monetary policy is to maintain control over the money…

Q: actions taken by central bank and govrnment to control corporte debts and issues that arise from the…

A: In an economy, corporate debt refers to the amount of money borrowed by businesses by the public and…

Q: Define the term the Truth in Lending Act?

A: In 1968, the federal enhanced a law known as Truth in Lending Act (TILA) to protect the consumers…

Q: Among the reasons that led to the interest of the monetary and financial authorities in bank credit:…

A: C.Development of the national economy  Option c is most appropriate. Credit plays a crucial role in…

Q: Credit creation power of the commercial banks gets limited by which of the following?

A: To find : Credit creation power of the commercial banks gets limited by which factor.

Q: Money is defined as * a. anything that is generally accepted in payment for goods and services or in…

A: Money is the liability of Central bank of the nation. Hence, it is not the liability of government.…

Q: Explain how a central bank can control credit through bank rate and open market operation

A: Open Market Operation is a traditional way to control the credit in the market used by the central…

Q: If a borrower defaults on a home loan, the bank is likely to do all of the following except -- sell…

A: In finance, default is failure to meet the legal obligations of a loan

Q: How would you determine the interest rate that the bank charges on the transaction?

A: Many payments are made through our bank accounts and each transaction has a cost attached to it. The…

Q: “When a commercial bank makes loans, it creates money; when loans are repaid, money is destroyed.”…

A: Bank balance sheet indicates the liabilities, assets and bank capital, of a bank.  Identity of bank…

Q: Discuss two specific services provided by banks to meet the need of small and medium enterprise in…

A: credit facility is an important function to support medium and small enterprises.

Q: Your text listed three roles central banks play as "bankers' banks." Which of the following roles…

A: "Since you have asked multiple questions, we will solve first question for you .. If you want any…

Q: When it engages in quantitative tightening, the Wakandan Central Bank bonds. This commercial-bank…

A:

Q: Should the government guarantee loans for small businesses that are missing the necessary track…

A: Commercial bank loans are provided on some basis such as the minimum requirement of liquid asset…

Q: what are the three main credit bureaus? They should explain how each one works and how they are…

A: This chapter is related to credit bureau. Credit bureau, also known in the US as credit reporting…

Q: Unlike commercial banks, savings and loans, andmutual savings banks, credit unions did not have…

A: Despite serving the same purpose of lending and borrowing money for savings and deposit purposes,…

Q: What will happen when the Bank Rate will be reduced? Cost of borrowing decreases. Credit…

A: Option (1).

Q: Name any two quantitative tool to control credit creation in an economy

A: The measures which manipulates the overall volume of the credit flow in an economy are term to be as…

Q: A) B) C) D) is a qualitative credit control instrument used by the Central Bank. Bank Rate Policy…

A: Qualitative credit control instruments are those instruments, used by the central bank to control…

Q: What is the reserved requirement for Philippine Banks?

A: Reserved requirements refers to the proportionate amount of total deposits that a commercial bank is…

Q: Distinguish between the general credit control and selective credit control and examine their…

A: The economies work with the motive to enhance their productivity levels because it helps in building…

Q: How will Dodd-Frank Act 2010 promote healthy banking practices?

A: The Dodd-Frank Act was made and composed by Senator Chris Dodd and Representative Barney Frank. All…

Q: What are the major differences between the four CPM loans?

A: Payments completely amortized: It refers to a form of periodic debt repayment. The mortgage is…

Q: What regulations appear to allow a central bank's attempts to restrict the quantity of lending by…

A: In an economy, the central bank has the right to influence the functioning of financial institutions…

Q: Since the 2008 financial crisis, borrowing at the federal funds rate

A: We have to find since 2008 financial crises .

Q: Commercial banks and credit unions can create money and credit. True or False

A: Yes, Commerical banks and credit unions can create money and credit.

Q: What is the maximum amount of new loans that this bank can make?

A: A bank can give loans to the public only after keeping some reserves out out total demand deposits.…