If the reserve ratio is 15 percent and commercial bankers decide to hold additional excess reserves equal to 5 percent of any newly acquired checkable deposits, then the relevant monetary multiplier for the banking system will be:
A. 4.
B. 3½.
C. 10.
D. 5.
Answer: D
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Suppose the market clearing rate for apartments in Yazoo City, Mississippi is $400 per month, but a rent control is set at $600 per month. Which of the following would tend to occur in the community?
A) A shortage of apartments B) An increase in the quantity demanded for apartments C) Both of the above. D) Neither of the above.
Which of the following is a normative statement?
a. Fifteen percent of Americans go without health insurance in a year. b. The Consumer Price Index rose three-tenths of one percent in May. c. An increase in the minimum wage will increase teenage unemployment. d. Americans would be better served by single-payer health care system. e. The French trade deficit reached an all-time high last year.
The types of loans the Fed makes consist of each of the following, except:
A. seasonal credit. B. primary credit. C. secondary credit. D. conditional credit.
What have been the poverty trends in the past forty-five years?
What will be an ideal response?