Chapter 48. Banking and Credit
1. What does a bank do for a community?
2. What are the sources of income to a bank?
3. Can a bank that issues its own notes afford to lend cheaper than the ordinary capitalist?
4. What is discount and deposit?
5. Do all banks issue notes? Why?
6. What is the function of a clearing-house?
7. If there are twenty banks in a town and no clearing-house, how many collections would have to be made by all the banks daily assuming that each day depositors of each bank receive checks on the other nineteen banks?
8. Does a clearing-house enable the banks that belong to it to get along with a smaller cash reserve?
9. What element of security is furnished by clearing-houses during panics?