Concerning fractional reserve banking

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Reference no: EM131524175

Which of the following is true concerning fractional reserve banking in the U.S.?

A. Only a portion of total credit outstanding is actually secured by money on deposit.

B. Depositors cannot have access to their money

C. Banks cannot loan more funds to borrowers than they actually have on deposit.

D. Fractional reserve banking will probably be replaced by full reserve banking in the near future.

Reference no: EM131524175

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