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Attitudes of THE UK population towards the banks and the banking crisis : Client: FSA ( Financial Services Authority)
Pages 5 (1255 words)
This survey will follow a specific kind of design that most fits the kind of study being carried out and one that is likely to give the desired results, with the costs and time together with some other important aspects of research taken into consideration…
The present financial meltdown offered an opportunity for the central banks to act as protectors on the monetary system. However, the policymakers together with journalists do not take the role of bank seriously in stabilizing the economy and offering a platform for growth in future. Some economists cite the money supply’s nationalistion as a cause of the cycles of business. There are two major schools of thought opposing the present practice of the central banking. A hundred percent reserve banking authorizes that full amount of every funds of depositors is available in the reserve; that is as cash or even other assets that are highly liquid, each time the depositor had the authority of withdrawing them on demand, such as a current account (McGivern, 2009). This would actually do away with or at least reduce to some great extent, the finial risks that are associated with the bank, as all the money that is required to pay the depositors all the times would be in the banks’ reserves. In addition, this kind of banking would do away with the need for a lender of last option; for instance a central bank, which is usually required to support the system of banking during periods of systemic danger or even economic contagion. ...
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