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What was the primary issue faced by merchants in 11th century Italy?

• Lack of goods to trade

• Too many different types of currencies

• Inability to travel for trade

• Lack of trading partners

What was the original purpose of banks in medieval Europe?

• To store large amounts of gold securely

• To simplify the process of currency exchange

• To facilitate cashless payments

• To provide loans to the church and kings

What is the main business of banks today?

• Holding government assets

• Risk management

• Currency exchange

• Providing loans to other banks only

What is one of the main problems with banks today?

• They only operate in developed countries

• They have abandoned long-term financial products for short-term gains

• They no longer provide loans

• They are not involved in the credit card business

What led to the global banking crisis in 2008?

• The failure of technology companies

• A sudden increase in interest rates

• The collapse of the housing market

• A global shortage of currency

How did the 2008 financial crisis affect the global economy?

• It had no significant impact outside the US

• It led to a decrease in global travel

• It caused stock prices to plummet and led to job losses

• It increased the value of the US dollar

What role do new investment banks play in the financial system?

• They only invest in government bonds

• They charge a yearly fee and avoid sales commissions

• They focus on short-term trading

• They act as middlemen for large transactions

How do credit unions differ from traditional banks?

• They only provide loans to businesses

• They focus on maximizing shareholder value

• They are for-profit institutions

• They are controlled by their members

What is a significant benefit of crowdfunding?

• It is only available for technology companies

• It spreads the risk across many investors

• It eliminates the need for banks entirely

• It guarantees a return on investment

What is the primary goal of microcredits?

• To fund large infrastructure projects

• To help people in developing countries start businesses

• To provide loans to wealthy individuals

• To increase the profits of large banks