Limits on the process of bank deposit creation, Managerial Economics

Limits on the process of bank deposit creation

On the demand side, there may be a lack of demand for loans, or at least of borrowers who are sufficiently credit worthy.   On the supply side, the volume of bank deposits will not in general rise and fall as a result of changes in the amount of cash held or deposited by the public, since the public's currency requirements tends to be fairly stable, and roughly proportional to the volume of transactions.

Posted Date: 11/29/2012 4:57:56 AM | Location : United States







Related Discussions:- Limits on the process of bank deposit creation, Assignment Help, Ask Question on Limits on the process of bank deposit creation, Get Answer, Expert's Help, Limits on the process of bank deposit creation Discussions

Write discussion on Limits on the process of bank deposit creation
Your posts are moderated
Related Questions
on the application of any of the concepts learnt in Managerial Economics. You may try to use these concepts to everyday problems in life or in any of the current debates on in the


Drafting of Price Policy: Demand forecasts assist the management to prepare a few appropriate pricing systems, so that level of price doesn't fall and rise to a great extent at th



Ask questiHow does economic theory contribute to managerial decisions? on #Minimum 100 words accepted#

Thinking about modifications in the model again: Go back to the original model again, but add a marginal propensity to invest, this is, suppose  that I = f ( i and Y). The MPI is d

Q. Explain about Cardinal utility? A measure of utility or satisfaction derived from consumption of services and goods which can be measured using an absolute scale. Cardinal u

“Managerial economics involves use of economic analysis to make business decisions involving the best use of a firm’s scarce resources” Explain the statement with suitable example.

1.  According to an article in San Luis Obispo Tribune July 21, 2006 37% of the college freshman and 48% of the college seniors carry a credit balance from month to month. Suppose