Question

Why are banks important when it comes to the money stock (money supply)?

Answer 1

Banks are important because they are intermediaries. They allow people who can use extra money and want to borrow to find people with extra money to lend. The also provide transaction services allowing payments to be made by check or wire.

Answer 2

Hmm yes.. thank you very much.

Answer 3

np :)

Answer 4

@ArbabShah You're so good at eco :D

Answer 5

They invest in capital , long story short, if you can improve a cities financial economic status by investing in good capital, it creates jobs and raises the cities worth along the way with making money in the long run which goes into the bank for either the bankees or more investments.

Answer 6

@uri haha thankyou :D you're good at it too :)

Answer 7

You're beast xD

Answer 8

Haha Thankyou @uri :)