When banks make loans, the money supply increases. Thus, option A is the correct option.
The process of banks making loans has a direct impact on the money supply within an economy. When a bank grants a loan to a borrower, it creates new money in the form of a deposit. This deposit increases the total amount of money available in the economy.
This process, known as the money creation process or fractional reserve banking, is based on the fact that banks are only required to keep a fraction of their deposits as reserves. The remaining fraction can be lent out, effectively creating new money. As borrowers spend the loaned funds, they enter circulation, further increasing the money supply and stimulating economic activity.
Therefore, when banks make loans, they contribute to the expansion of the money supply, supporting economic growth and facilitating transactions in the economy.
Thus, option A is the correct option.
Learn more about money supply here:
#SPJ6
Probably the correct formation of the question should be:
When banks make loans, the money supply _____.
a. increases
b. decreases
Answer:
The speaker is willing to improve workplace safety.
Explanation:
2-children today are less likely to listen to their parents.
3-public educational systems have a greater influence on children through character education.
4-children are more influenced by their peers.
Answer:many lead single-parent and dual - working -parent households where work schedule and stresses limit the time and energy they have to guide their children upbringing.
Explanation:
Values are the moral principles which control the patterns of behaviour of people in the society. It shows the behaviour of someone in the society which are seen to be good and those which are seen to be bad. The sources where individuals can get their values includes the family, age, peer group, and religious bodies such as church and mosque. In today's society, parents may find it challenging to in still values and build strong character in their children because many lead single parent and dual working parent households where work schedules and stress limit the.time and energy they have to guide their children upbringing.
In today's society many parent are single parent in which the mother alone is responsible for the upbringing of the children whereas the children need the father figure in the process of their upbringing to have a good moral upbringing. Likewise many of the parent are dual working class parent who leave the house in the morning and returns late in the night even when the children would have slept they hardly had little time for the upbringing of their children.
Answer:
1) Many lead single-parent and dual-working-parent households where work schedules and stresses limit the time and energy they have to guide their children's upbringing
Explanation:
The current society we find ourselves is one where ever gender strive to survive. Gone are the days when the women are been saddle with the responsibility to be a full time house wives.
Time have always been a limiting factor in child's grooming,most individuals leave for work early and closes late at night.This is not their doing as they have a family to fend for.
On the other hand a stressed man is one who practically needs an ample amount of rest,for the next day work.
This new trends have negatively affected children upbringing,as precious time need to be spent on the kids are been spent on office works.Kids are forced to learn every single things from peers, neighbors and relative close by. Not knowing the difference between the good and the bad.
Answer:
Economies of scale
Explanation:
economies of scale happen in very competitive market . The output increases so the prices drop. As technology gets more advanced, prices drop due to the economies of scale
b. increase in total product
c. total costs
d. labor input