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Explain why the money listed under assets on a bank balance

Assignment Help Macroeconomics
Reference no: EM133438968

Questions:

1. Explain why the money listed under assets on a bank balance sheet may not actually be in the bank?

2. How do you calculate a bank's net worth?

3. Should banks have to hold 100% of their deposits? Why or why not?

4. Why does expansionary monetary policy causes interest rates to drop?

5. What is a bank run?

6. Is it preferable for central banks to primarily target inflation or unemployment? Why?

Reference no: EM133438968

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