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During a Financial Crisis Hit Hard by Bank Failures,the Money

Question 143

Multiple Choice

During a financial crisis hit hard by bank failures,the money supply


A) decreases because people start putting money into savings accounts.
B) increases because people start putting money into savings accounts.
C) increases because people start withdrawing their money from banks.
D) decreases because people start withdrawing their money from banks.
E) increases because people spend more instead of saving more.

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