Bank Lending Channel Advocates Are Skeptical of Milton Friedman and Anna

Multiple Choice

Bank lending channel advocates are skeptical of Milton Friedman and Anna Schwartz's explanation of the role of banking panics in explaining the Great Depression, because they believe Friedman and Schwartz failed to take into account the effect of the banking panics on

A) the supply of money.
B) interest rates.
C) the availability of bank loans.
D) consumer confidence.