True or False

11. Rothbard argues that a rule for sound financial management is that the time structure of assets be less than (or equal to) the time structure of liabilities

12. Murphy argues that it is quite clear that our fractional-reserve banking system is illegitimate.

13. In Murphys example, when Bill deposited $1000 in his bank nothing happened to the money supply, but when Sally borrowed it from the bank, the money supply grew.

14. The critics of fractional reserve banking argue that it is fraudulent and helps to fuel the business cycle even though it is inherently a very stable system.

15. Selgin dismisses the argument that fractional reserve banking is fraudulent by noting that if that were true, then some smart entrepreneur would start a 100% reserve bank and make enormous profits.