What did Fisher advocate for in banking?
Full-reserve banking
Fractional-reserve banking
Central banking
Private banking
Answer
Full-reserve banking, as advocated by Irving Fisher, is a monetary system in which banks hold 100% of deposits in reserve, meaning they cannot lend out any money that has been deposited. This system is designed to prevent bank runs and financial crises by ensuring that banks have enough cash on hand to meet all withdrawal demands.
Irving Fisher Trivia: 31 Questions to Test Your Memory
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