Answer:
are intertwined. It is not just that most money is in the form of bank accounts. The banking system can literally create money through the process of making loans. Let’s see how.
Start with a hypothetical bank called Singleton Bank. The bank has $10 million in deposits. The T-account balance sheet for Singleton Bank, when it holds all of the deposits in its vaults, is shown in Figure 1. At this stage, Singleton Bank is simply storing money for depositors; it is not using these deposits to make loans, so it cannot pay its depositors interest either.
The assets are reserves ($10 million). The liabilities + net worth are deposits ($10 million).
Figure 1. Singleton Bank’s Balance Sheet: Receives $10 million in Deposits.
Singleton Bank is required by the Federal Reserve to keep 10% of total deposits, or $1 million, on reserve to cover withdrawals. It will loan out the remaining $9 million. By loaning out the $9 million and charging interest, it will be able to make interest payments to depositors and earn interest income for Singleton Bank and make interest payments to depositors (for now, we will keep it simple and not put interest income on the balance sheet). Instead of becoming just a storage place for deposits, Singleton Bank can become a financial intermediary between savers and borrowers.
This change in business plan alters Singleton Bank’s balance sheet, as shown in Figure 2. Singleton’s assets have changed; it now has $1 million in reserves and a loan to Hank’s Auto Supply of $9 million. The bank still has $10 million in deposits.
The assets are reserves ($1 million) and loan to hank’s auto supply ($9 million). The liabilities + net worth are deposits ($10 million).
Figure 2. Singleton Bank’s Balance Sheet: 10% Reserves, One Round of Loans
Singleton Bank lends $9 million to Hank’s Auto Supply. The bank records this loan by making an entry on the balance sheet to indicate that a loan has been made. This loan is an asset, because it will generate interest income for the bank. Of course, the loan officer is not going to let Hank walk out of the bank with $9 million in cash. The bank issues Hank’s Auto Supply a cashier’s check for the $9 million. Hank deposits the loan in his regular checking account with First National. The deposits at First National rise by $9 million and its reserves also rise by $9 million, as Figure 3 shows. First National must hold 10% of additional deposits as required reserves but is free to loan out the rest.
The assets are reserves (+ $9 million). The liabilities + net worth are deposits (+ $9 million).
Figure 3. First National Bank’s Balance Sheet: Required 10% Reserves
Since the loan to Hank was deposited into a demand deposit account (Hank’s checking account), the loan increases the M1 money supply. Making loans that are deposited into a demand deposit account increases the M1 money supply. Remember the definition of M1 includes checkable
Explanation:
Because all currencies are fiat currencies, which means they are NOT backed by gold & silver. This allows private banks to create money out of thin air and lend it to governments. This is the root of inflation and the recent financial crisis.
If you think about the following: 2,000 years in Ancient Rome you could walk into a clothes store and with a one ounce gold coin you could buy yourself a nice robe, sandals, etc. and get well dressed for one gold coin. Today you walk into a department store in NYC, London, Milan or Tokyo and with a one ounce gold coin you can buy yourself a suit, shirt, tie, socks, shoes & belt. The value of a one ounce gold coin today in just over USD$1,700. Interesting to see that a gold coin 2,000 years ago buys you the same today.
If you look into monetary history you'll find that every time currencies were backed by gold & silver there was no inflation and economy thrived. The sooner we go back to this system, the sooner the economy will sort itself out.
The good thing is that the Swiss government are going to have circulate Swiss Franc gold coins as an alternative currency to the paper money Swiss France in Autumn this year. In Utah, USA a silver coin currency is already circulating as an alternative to the US dollar, 12 other US states are about to follow. Also the Mexican government is about to approve the circulation of silver coins as an alternative to the peso. So it's already coming...
Pregunta N° 3: Responda marcando la respuesta correcta. Después de construir el primer dique los yacarés 1 punto A) pusieron vigilantes. B) hicieron una fiesta. C) se acostaron a dormir en la playa. D) no pudieron ni dormir.
La respuesta correcta es C) se acostaron a dormir en la playa.
Después de construir el primer dique, los yacarés se acostaron a dormir en la playa.
Entre los representantes más importantes de la literatura uruguaya moderna, encontraos al autor Horacio Quiroga, quien escribió el libro "Cuentos de la Selva" en el año de 1918. Dentro de ese libro es que se incluye el cuento corto titulado "La Guerra de los Yacarés," a los que se refiere esta pregunta.
Yacarés es una palabra usada en Uruguay y Argentina, pero quizá no es tan conocida en otras partes de Latinoamérica. Un yacaré es un lagarto o cocodrilo.
Como parte de la historia "La Guerra de los Yacarés," estos yacarés tienen que construir un dique para impedir el paso de los buques o barcos que están ahuyentando a los peces, que son el alimento principal de los yacarés.
7. Which is a part of governing?
Answer:
the answer is four
The statement below was made by Thomas Jefferson in 1786 letter to John Jay. "Our liberty, which cannot be guarded but by the freedom of the press..." Why is this right so important to a democratic society? a It keeps talented and creative writers employed b It helps the government keep track of public opinion c It provides a place for political candidates to advertise their campaigns d It keeps citizens informed about the actions of the government
The correct answer is D) It keeps citizens informed about the actions of the government.
The statement below was made by Thomas Jefferson in 1786 letter to John Jay. "Our liberty, which cannot be guarded but by the freedom of the press..." Why is this right so important to a democratic society?
Answer: "It keeps citizens informed about the actions of the government."
One of the concerns of the founding fathers -in this case, Antifederalist Thomas Jefferson- was the rights of the citizens.
As we know, he opposed the creation of a strong central government that could end up being a dictatorship, as was the case of the English monarchy.
That is why he supported a simpler form of government in which the states remained sovereign and the citizens could have many rights such as freedom of speech and freedom of the press.
In the case of the freedom of the press, this is the best way to guarantee American people are informed about everything.
Select the correct answer.
+T
Read the excerpt from a short story. How does the character of the spotless ladybug affect the plot of the story?
A group of ladybugs lived in a hollowed log in the middle of the forest. The ladybugs came in lots of different shapes and sizes. Some were large
and orange in color. Others were small and red. All of them were covered in spots-all except for one. The other ladybugs made fun of this one
spotless ladybug. This ladybug became embarrassed and covered its body with leaves. Nothing worked, though, and the ladybug continued to
be teased by the other ladybugs in the log.
One day, a flock of birds moved into a nearby tree. These were beautiful birds, but they were also dangerous. They had just one thing on their
mind: eating ladybugs. The birds had no trouble finding all the ladybugs because of their spots-- all of them except for the ladybug with no
spots. This ladybug could blend in with the leaves and flowers around the log. That night, the ladybugs held a meeting. They decided that they
needed get away from the birds. But how? The spotless ladybug spoke up. "The birds can't see me. I can sneak into their tree when they're
sleeping and spill sticky honey in their nest. Then they'll be stuck to the tree." The ladybugs agreed to try this plan.
OA
The spotless ladybug was different from the others, but this quality helped to save the day.
OB. The spotless ladybug narrated the story so readers could understand what was happening.
OC. The spotless ladybug was teased by the other ladybugs and didn't feel the need to help them.
OD. The spotless ladybug was smarter than the other bugs and was able to solve their problems.
OE. The spotless ladybug eventually grew spots to blend in with the other ladybugs.
Answer:
The spotless ladybug was teased by the other ladybugs and didn't feel the need to help them.
In 1920 many people in the United States favored a policy of what?
Answer:
of rules they followed rules and said rules were rules but nowadays its not that strict they just do challenge and say it is a challange
help me with this please
Answer:
Trial #1: 1.66 m/s
Trial #2: 1.26 m/s
Explanation:
Distance divided by time = average speed
Answer:
1.7 and 1.3
Explanation:
Which of the following was an internationalcause of the global depression?
Answer:
The Great Depression of the 1930s was a global event that derived in part from events in the United States and U.S. financial policies. ... The U.S. stock market crash of 1929, an economic downturn in Germany, and financial difficulties in France and Great Britain all coincided to cause a global financial crisis.
Explanation:
Paano maipapakita ng isang tao sa kanyang kapwa ang kanyang pagkakawanggwa?
Answer:
I papakita niya ang kanyang pangkawanggawa
Explanation:
sorry I'm not, sure
why were the years of the crusades so violent?
Answer:
Because they were primarily started to secure control of holy sites considered sacred by both groups.
Explanation:
Answer:
The Roman Catholic Church wanted to take back the holy land from Islamic rule during medieval times. To do this they perfomed many "crusades" resulting in estimated millions of death.
4. Drawing Conclusions Do you think the numerals 0 through 9 should be called Arabic or Gupta numerals? Explain
In what ways do you think that nationalist attitudes and feelings might promote peaceful interactions towards a common objective?
Answer:
Nationalism, like nation, is very hard to define clearly and unequivocally. The contention that nationalism is what nationalists make of it is, in fact, an evasion.
Explanation:
The power of a machine measures * 1 point
Is it beneficial for a terrorist group in gaining the public's attention by causing harm to many people? Explain your response.
Answer:
No , it is not beneficial for a terrorist group in gaining the public's attention by causing harm to many people
Explanation:
Terrorist activities are heinous crimes and there is no gain of getting public attention by carrying out such activities. Most of the terrorist groups are know to be hated by people all around the world and are in the wanted list of several countries around the world. There is no point of gaining recognition for spreading terror and as murderers of humanity and peace.
How allowed Francisco Pizarro to easily conquer the Inca?
He purchased the empire with gold and European goods.
He tricked the ruler into making him the emperor.
His men had superior European weapons.
He defeated the empire one village at a time with a large army.
Answer:
He defeated the empire one village at a time with a large army
The Fall of the Soviet Union marked the dissipation of this Communist power after the end of the Cold War. False True
Answer:
false
Explanation:
Soviet Union has nothing to do with the US communist
Why was the cry of Dolores started?
Answer:
Hii
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Freedoms Battle
Which of the following best describes the tone of Gandhi's piece?
defeated
apathetic
irritated
furious
Answer: he is calmly defiant which im pretty sure the answer would become
D: furious
who was responsible for making policies designed to fight communism
Answer:
Containment, strategic foreign policy pursued by the United States beginning in the late 1940s in order to check the expansionist policy of the Soviet Union. The term was suggested by the principal framer of the policy, the U.S. diplomat George F.
Explanation: This is all i know
If the supply of a product increases, then
O the price decreases
O the price increases
O the demand increases
O the demand decreases
What country had the most troops in Normandy on D-Day
Answer:
The majority of troops who landed on the D-Day beaches were from the United Kingdom, Canada and the US.
Brainliest if you answer this correctly in DETAIL. More than 3 sentences long, please.
What could be a problem with using just one or two primary sources to study an event?
Answer:
Disadvantages: Some primary sources, such as eyewitness accounts, may be too close to the subject, lacking a critical distance. Others, such as interviews, surveys, and experiments, are time consuming to prepare, administer, and analyze. Primary sources help students relate in a personal way to events of the past and promote a deeper understanding of history as a series of human events. Because primary sources are incomplete snippets of history, each one represents a mystery that students can only explore further by finding new pieces of evidence.
Explanation:
What is Reaganomics? Explain the goal of this plan.
How did Darwin's theory of natural selection contribute to the rise of eugenics?
A. It helped wealthy industrialists justify their opulent lifestyles as the natural results of their talents.
B. It led urban elites to begin questioning the traditional, Christian interpretation of humanity's place in nature
C. It convinced some Americans that social progress depended upon preventing inferior people from breeding
D. It outraged Southern religious conservatories who viewed it as a materialistic attack on their values.
Answer:
C
Explanation:
Because it convinced Americans rather than the others
PLSSS HELP I NEED THIS DONE BY 3:00
Answer: because they didn't leave written records behind
Explanation:
the Aztecs were he fascinating people group but the only records we know about them is from the spanish conquistadors and explorers of the time they had their history passed down verbally instead of in writing which is why we can't know their culture and history in detail.
Congressional senators represent more citizens than the individual congresspersons from the same state.
Answer:
Members of the U.S. House of Representatives each represent a portion of their state known as a Congressional District, which averages 700,000 people. Senators however, represent the entire state.
Explanation:
Why did India’s desire for independence increase following World War II?
It decided it had lived under British rule long enough.
It felt that its service in the war effort should grant it independence.
It decided to go to war against Britain unless it was freed.
It realized it could succeed as an independent country.
Answer:
BBBBBB
Explanation:
After World War II, India felt that its contribution to the war effort should be rewarded with independence, which increased its desire for independence. The right response is, therefore, (B).
What is India's contribution in the Second World War?Approximately 2.5 million Indians fought against fascism during World War II in all theaters of battle as well as on land, sea, and the air. 31 Victoria Crosses were among the numerous honors the Indian Army received. Asians have enlisted in the Air Force as ground personnel and pilots. Communication was maintained among sailors.
Between 30,000 and 40,000 of these soldiers died while fighting and significantly contributing to the war. Additionally, because the world wars took place while India was still a part of the British Empire, they have generally been disregarded in India as a remnant of its colonial past.
Learn more about World War II, from:
brainly.com/question/1449762
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Hyder Ali and Tipu Sultan were great warriors of their time but they couldn't defeat the British. Give the reasons for this.
Answer:
Simply put, we can say that Hyder Ali did not defeat the British because he died and Tipu Sultan did not defeat the British because both he and his army were exhausted.
Explanation:
Hyder Ali and Tipu Sultan were indeed extraordinary warriors and were leaders of the Kingdom of Mysore in southern India. Hyder Ali managed to defeat the British army in several battles and in grand ways, but he died before the war ended and defeats the British army completely. After the death of Hyder Ali, Tipu Sultan assumed the leadership and despite the success of the army both he and the army were exhausted and tired of fighting and for that reason, Tipu Sultan preferred to establish the Treaty of Mangalor, which ended the war with England.
How were the rights of African Americans limited during the Reconstruction Era?
Answer:
African Americans while free were still restricted to where they could live, where they could work and where they could obtain an education. The 14th amendment allowed African Americans could vote but Jim Crowe laws were put in place that made registering to vote almost impossible. African Americans were restricted as to where they could live and what schools they could go to. Many were uneducated and resulted in them being stuck working meinial jobs for meager pay.
Explanation:
WILL GIVE BRAILIEST ASAP
Answer:
argument #2
Explanation:
This argument supports the idea that the statues serve as reminders of our past because they preserve "the good and the bad" as mentioned.
The smallest province in Canada is:
Ontario
British Columbia
Quebec
Prince Edward Island
NO WEBSITES OR YOU WILL GET REPORTED
Answer:
Prince Edward Island
Explanation:
Googl e
Answer:
it's answer is ( Prince Edward Island )