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What does the government use to regulate and keep banks from over-extending themselves?
Wiki User
∙ 9y ago
Banking institutions are required by the Federal Reserve System to maintain assets as a form of reserves. This protects them from the widespread sudden withdrawal of direct deposits.
Wiki User
∙ 9y ago
Wiki User
∙ 15y agofiscal policy
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Which tool does the government use to regulate and keeps banks from over-extending themselves?
Require assets
Which tools does the government use to regulate and keeps banks from over extending themselves?
Require assets
One tool the government uses to regulate and keep banks from over-extending themselves is to?
require a percentage of assets to be reservedRequire a percentage of assets to be held in reserve. (:
Why does government regulate banks?
Because banks are the financial intermediaries of the economy. If banks operate in an unsupervised manner they might cause economic chaos and uncertainty in the country. That is why governments regulate the banks to ensure that customers are protected and the country's economy is safeguarded.
Why do government regulate from banks?
Because banks are the financial intermediaries of the economy. If banks operate in an unsupervised manner they might cause economic chaos and uncertainty in the country. That is why governments regulate the banks to ensure that customers are protected and the country's economy is safeguarded.
Why does Canada's government regulate how many fish can be caught in the greand banks?
They do not want there to be any more overfishing in that area
Why do governments regulate banks?
Because banks are the financial intermediaries of the economy. If banks operate in an unsupervised manner they might cause economic chaos and uncertainty in the country. That is why governments regulate the banks to ensure that customers are protected and the country's economy is safeguarded.
Why do Canada's government must regulate how many fish can be caught in the grand banks?
people used to overfish in that area
Who regulate the regional rural banks?
nabard
Explain why Canada's government must regulate how many fish can be caught in the grand banks?
They don't no more over fishing in that area wich is canda
Which of these tools does the government use to regulate and keep banks from over extending themeselves?
Perform frequent audits to make certain laws are being followed
Does the government own the banks?
No. The Government oversees the operations of all the banks but it does not own them. Nationalized banks are partially owned by the government but private banks are not owned by the government.
