identify therelationship between money credit and financial institution

Q: what is the benefit if the commercial banks create new money?

A: Money refers to the economic unit that is used to make exchanges and to set the value of any…

Q: What happened during hyperinflations?

A: Inflation: The term inflation indicates the increase in the general price level of commodities in an…

Q: Is demand deposit and current deposit at bank same

A: The bank is the financial institution which deals primarily in the accepting and mobilizing the…

Q: can you find out major differences between large banks and small banks. Which have had higher ROAs?…

A: Following below are the major Differences between large bank and small banks: A. All those banks are…

Q: Central Bank act as a lender of the last resort. How?

A: Central bank is an apex institutions in the financial system of a country. Central bank operates…

Q: What are the advantages and disadvantages of governments issuing small denomination coins.

A: Government coins are coins that are produced and distributed by a national government or central…

Q: what is the basic function of the Fdic and NCAA? how do they perform this function

A: The FDIC(Federal Deposit Insurance Corporation) is a federal agency which is free guaranteeing…

Q: What is a bond, James Bond? how is it related to personal checks

A: Bonds are one of the important income yielding financial assets in the economy and not James Bond…

Q: what is the purpose of the national credit act

A: In a market, various acts are implements to protect the interest of the market participants. The…

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: does the Fed regulate money to influence the interest rates?

A: Federal Reserve is the central bank of United States. It is the apex bank and the regulator of…

Q: Identify and briefly explain the four specific functions of money that economists have identified?

A: Medium of Exchange: The medium of exchange used to facilitate the buying and selling of goods and…

Q: What are some measures to remove the defects of Indian money market?

A: Introduction - When compared to advanced markets such as New York and London Money Markets, the…

Q: List the key functions of a TPS.

A: TPS stands for Transaction Processing Technology, and it is a type of advanced information system…

Q: Explain how money evolved over the years?

A: Money is an object that is generally accepted as payment for goods and services and repayment of…

Q: What are demand deposits and why should they beincluded in the stock of money?

A: Demand deposits are the funds that are deposited in the bank account which are payable on demand.…

Q: What did they use for money back in Saladin’s day (12th century)?

A: Saladin's day refers to the time period during which Saladin, also known as Salah ad-Din Yusuf ibn…

Q: Define the functions of money. Explain in detail. Thank you.

A: Money is any tangible item or verifiable document that is regularly accepted as payment for goods…

Q: Who is responsible for creating money?

A: The onus for the creation of money in an economy is upon the banks. Banks are the real money…

Q: Discuss how the national credit act deals with information held by the credit bureaux

A: The National Credit Act, 2005 is aimed to provide betterment of credit market in terms of fairness,…

Q: Why is money necessary in an economy? What are its functions and how is it created?

A: Money is the source which helps in buying goods and services. It works as a medium of exchange which…

Q: Identify whether it is true or false BANK RATE IS A QUALITATIVE METHOD OF THE CREDIT CONTROL IN THE…

A: According to the given question Option is FALSE Reason BANK RATE IS NOT AN QUALITATIVE METHOD OF THE…

Q: Explain the role of money in society

A: Explain the role of money in society.

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: dentifying what variable is affected in the money market and providing a detailed explanation as to…

A: The above graph indicates the market situation which is affected by the interest rate in the…

Q: Who are the members of the Monetary Board?Please describe

A: The monetary board conducts monetary policies and regulates the money supply and level of inflation…

Q: Draw a diagram to explain the link between money supply and inflation.

A: Inflation is caused by growing the cash flow more than economic production grows and create price…

Q: How has bitcoin evolved over time, and how may it evolve further in the future? Does it fully fulfil…

A: Bitcoin is a decentralized computerized currency that takes into consideration peer-to-peer…

Q: investment per worker in the steady state. capital per worker in the steady state. output per worker…

A: The answer is - Option 4. Consumption per worker in the steady state.

Q: Why is it said that money is as money does? Does the Pakistani rupee perform all functions of money?…

A: The following problem has been answered as follows:

Q: Do the financial institutions usually quote the interest rate on an annual basis?

A: The interest rate is a specific percentage of principal that must be paid by a borrower of money to…

Q: Banks will go to central bank for loans if federal funds rate is lower than the discount rate. O…

A: The banks sometimes fall short of deposits to fulfill their withdrawal needs or other credit…

Q: What is the danger if the bank has low level of capital ?

A: A bank is a financial body which perform function of receiving deposit, provide withdraw and give…

Q: Why did the Bank of England in 2021 set bank rates to be maintained at 0.1%?

A: Fiscal and monetary policy are important for economy. In Democratic government, it has been seen…

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: Discuss the major differences between large banks and small banks. Which have had higher ROAs? Why?

A: Following below are the major Differences between large bank and small banks: A. All those banks are…

Q: Write the definition of money, its functions, and its characteristics.

A: money is a medium of exchange this is broadly well-known in transactions for goods and services. it…

Q: what is the role of money in the economy?

A: Money is a widely accepted mode of payment for goods and services or in the discharge of other…

Q: what is a compensating balance and how does it affect the interest rate on a line of credit?

A: Compensating balance refers to the balance maintained by borrower in a account with lender like a…