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By having banks buy government bonds and/or lend money to the government, they are essentially investing in the stability of the government itself. This can hel
by soheil 4y ago
By having banks buy government bonds and/or lend money to the government, they are essentially investing in the stability of the government itself. This can help build confidence in the government and the banking sector, which can contribute to overall stability. Of course, there are still real risks and challenges that exist, such as potential default by the government or problems within the banking system.