how do bondholders and banks hold a similar function?

Question

elise_a18 · Answer

both hold someone else's debt
both take deposits and issue withdrawals
both required to hold certain assets
both have to charge government-determined interest rates

elise_a18 · Answer

the passage it gives me says, " Thus, a bondholder actually functions like a bank. Bondholders loan money and earn interest in return."

elise_a18 · Answer

@Astrophysics @likeabossssssss @tshimp0629 @Brad @caseysorensen @dan815 @inkyvoyd @InstagramModel

likeabossssssss · Answer

hey @Elise_a18 plz no mass tag :)

elise_a18 · Answer

This has been up since yesterday and no one has helped me, I need all the help I can get, sorry @likeabossssssss

likeabossssssss · Answer

what do u think it is ?

elise_a18 · Answer

I honestly have no idea, I'm thinking that C might be 10% correct

likeabossssssss · Answer

i would say it is worng but not 100% sure in think it is D

elise_a18 · Answer

thanks for your feedback n-n

likeabossssssss · Answer

:) sorry if it is wrong

elise_a18 · Answer

it's alright, i appreciate you helping

caseysorensen · Answer

@Elisa_a18 you were right the first time

elise_a18 · Answer

C? Would you be able to confirm?

caseysorensen · Answer

yes

likeabossssssss · Answer

i agree thought it is c or d cuz they made the most sense

likeabossssssss · Answer

I**

caseysorensen · Answer

This can be interpreted as a 'coordination failure  the market fails to  role of the central. bank lender. of. last. resort. Liquidity crises are avoided in  This creates an implicit guarantee to the bondholders that they will be paid out when  the banks that hold relatively illiquid assets cannot produce the cash to pay out.