Liabilities normally carry a balance and are shown in the debit; balance sheet debit; income statement debit; statement of stockholders' equity credit; balance sheet

Which of the following explains why the government sets a required reserve ratio for private banks? a. to allow the government to control the interest rate charged on loans. b. to prevent banks from printing too much money and causing inflation. c. to make sure banks don't run out of money when customers make withdrawals. d. to enable the regulation of risk levels in the decision process of offering loans. 2b2t

If a government accumulates chronic budget deficits over time, what's one possible result? a. a collective action problem b. a debt crisis c. regulatory capture d. an unfunded liability

Which of the following is the term for something that you can't live without 1. need 2. want 3. good 4. service