Question

Plz help! Describe two ways commercial banks could lend euros to individuals and firms?

Answer 1

Answer:

A bank is a financial institution which is involved in borrowing and lending money. Banks take customer deposits in return for paying customers an annual interest payment. The bank then uses the majority of these deposits to lend to other customers for a variety of loans.

Commercial Bank

A bank is a financial institution which is involved in borrowing and lending money.

Firms

Answer 2

Answer:

Based on a common source of balance sheet data for four largest economies of the euro area over the period 1999-2011 the two main regularities were discovered first the effect of monetary policy on bank lending is significant and heterogeneous. Second,there is some evidence that monetary policy exerts larger effect on cooperative and saving banks with lower liquidity and less capital.

Explanation: