The main advantage of diversification as an investment policy is that it-

How can banks increase the amount of loanable funds available for private lending?

(a) By selling government securities to securities dealers and the Federal Reserve System (b) By buying government securities from securities dealers and the Federal Reserve System (c) By buying stocks, property and other assets to hold on behalf of the banks (d) By holding 100 percent of customers' deposits in bank vaults

Nominal gross domestic product (GDP) is measured in terms of the _____

a. current-year prices b. base-year prices c. export of goods and services d. amount of taxes collected e. hours of employment