The Banks of the Mississippi has excess reserves of $20,000, desired reserves of $80,000 and the desired reserve ratio is 5 percent. What is the total amount of deposits in this bank?
A) $180,000 B) $100,000 C) $1,000,000 D) $1,600,000 E) $5,000
D
You might also like to view...
Describe the gaps between real GDP per person in the United States and in other countries. For which countries is the gap narrowing? For which is it widening? For which is it the same?
What will be an ideal response?
In the neoclassical growth model without technological progress, in the steady-state the level of capital increases at
a. the growth of technology plus the growth of population. b. the growth of technology plus the growth of population plus depreciation. c. the growth of technology. d. the growth of population.
In the simple liquidity preference model, changes to the money supply will have a smaller effect on interest rates the:
A. flatter, more elastic is the money demand curve. B. flatter, less elastic is the money demand curve. C. steeper, more elastic is the money demand curve. D. steeper, less elastic is the money demand curve.
Speculators play a role in the economy similar to that played by
a. farmers. b. investment banks. c. insurance companies. d. stockbrokers.