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Question
Which of the following is a government regulation that enables the government to achieve its goals for the bankingsystem?
a. A government regulation that allows for mergers in order to help increase the size of a bank.
b. A government regulation that provides complete discretion to banks to manage the supply of money.
c. Banks are required to hold reserves in order to control the money supply.
d. Banks are penalized in case of inefficient functioning.
Answer
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