Skills Check: Money & Banking 19. In 1992 and again in 200718 the state of California ran out of funds and could not pay its bills. It issued IOUs, called warrants, to its workers and suppliers. Only large banks and credit unions accepted the warrants. Should these warrants be viewed as money? Explain in detail. Skills Check: Money & Banking 20. Viewing the reserve requirement as tax Before the bank reserve requirement became a voluntary business practice in Canada, some banks complained that the requirement was essentially a 'tax on their holding of deposit. Explain how a 10% reserve requirement could be viewed as a 10% tax