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Which of the following is true about a fractional reserve banking system? It allows banks to loan out a O portion of deposits and therefore
Which of the following is true about a fractional reserve banking system? It allows banks to loan out a O portion of deposits and therefore create money. It is likely to fail as most people O demand all of their money each day. The central bank does not allow O for this type of system. There are no regulations O concerning the portion of reserves banks must hold
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