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    Financial Markets and Institutions Study Set 5
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    Exam 21: Managing Liquidity Risk on the Balance Sheet
  5. Question
    Stored Liquidity Management Occurs When a DI Uses Its Reserves
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Stored Liquidity Management Occurs When a DI Uses Its Reserves

Question 25

Question 25

True/False

Stored liquidity management occurs when a DI uses its reserves held at the Federal Reserve to meet the net deposit drain.

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