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17 February, 04:38

Bank loans influence the economy by

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  1. 17 February, 05:09
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    So it acts indirectly, by changing the money supply or the amount of money in the economy ... When a bank loans you money, it makes you pay interest on the money, say 5 or 10 percent of the loan amount. As you pay back a loan, you also pay the interest to the lender.
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