5. Because of leverage, a 5 percent decline in the value of a banks assets causes the...

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5. Because of leverage, a 5 percent decline in the value of a bank’s assets causes the value of the bank’s to fall by than 5 percent.

a. capital, more

b. capital, less

c. deposits, more

d. deposits, less

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Macroeconomics

ISBN: 9781319263904

11th Edition

Authors: N. Gregory Mankiw

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