Vidyalelo
Management · Q456

International Finance and Treasury

Graduate and Post Graduate · Management · question 456

Q456

Economic period in which banks have excess funds is classified as

A.
functional time line
B.
contract timing
C.
contraction period
Answer
D.
expansionary periods

Answer: Option C

Solution

Answer: Option C
Solution:
Economic period in which banks have excess funds is classified as contraction period. A contraction generally occurs after the business cycle peaks, but before it becomes a trough.