Economy, asked by priyadarshini7769, 1 year ago

Commercial bank create money in the economy . Explain

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Answered by amritaraj

5

Answer:

Explanation:

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Commercial banks make money by providing loans and earning interest income from those loans. ... A commercial bank may specialize in just one or a few types of loans. Customer deposits, such as checking accounts, savings accounts, money market accounts, and CDs, provide banks with the capital to make loans.

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