Question

How does the government benefit when individuals purchase government bonds or treasury bills?
(1 point)
The American dollar is stable due to these bonds and bills.
It does not since the government has to pay interest on these.
These are essentially loans to the government, so they provide cash.
These investments mean that the government has to print less money.
A)
Why would a business choose a state bank over a national bank?
(1 point)
Local banks are required to be FDIC insured.
The business plans to expand into other regions.
The business works with a lot of local customers.
Local banks usually have the lowest interest rates.

Answer 1

1) These are essentially loans to the government, so they provide cash.
2) The business works with a lot of local customers.