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    Essentials of Economics Study Set 4
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    Exam 13: Money and Banks
  5. Question
    Potential Deposit Creation for the Entire Banking System Is Without
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Potential Deposit Creation for the Entire Banking System Is Without

Question 92

Question 92

True/False

Potential deposit creation for the entire banking system is without limit because when lending takes place,the excess reserves of one bank become deposits for another bank.

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