Which of the following is true about banks? Select one: a. Banks are financial institutions through which savers can directly provide funds to borrowers. b. Typically, banks receive few but big deposits, which they then use to make many small loans. c. Through the checking accounts they facilitate, banks provide a medium of exchange. d. The interest rate banks charge when they lend is the same they pay for the deposits they receive.

Which of the following is true about banks? Select one: a. Banks are financial institutions through which savers can directly provide funds to borrowers. b. Typically, banks receive few but big deposits, which they then use to make many small loans. c. Through the checking accounts they facilitate, banks provide a medium of exchange. d. The interest rate banks charge when they lend is the same they pay for the deposits they receive.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter21: The Monetary System

Section: Chapter Questions

Problem 3PA

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