In macroeconomics, _____________________________ describes a situation where a bank’s liabilities can be withdrawn in the short-term while its assets are being repaid in the long-term.
A. diversification
B. reserve ratio
C. an asset-liability time mismatch
D. a negative net worth
Answer:C
In macroeconomics, _____________________________ describes a situation where a bank’s liabilities can be withdrawn in the short-term while its assets are being repaid in the long-term.
A. diversification B. reserve ratio C. an asset-liability time mismatch D. a negative net worth
Explanation: Type: Multiple Choice