1. What are the dangers of money creation by banks?

2. Why is money creation and destruction of importance in the pursuit of public policy?

3. What is the principal function of pension funds? Explain why these institutions have been among the most rapidly growing financial institutions in recent years. Do you expect their growth to be faster or slower in the future? Why? What is the difference between a defined benefit and a defined contribution pension plan?

4. What are the principal assets acquired by pension funds? What factors guide their selection of securities?