Suppose the required reserve ratio is 3 percent, and currency and reserves total $10 million. The maximum change in the money supply that can be supported is:
A. $13 million.
B. $30 million.
C. $97 million.
D. $333.3 million.
Answer: D
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Which of the following business practices, if proven to exist, is always illegal under U.S. antitrust law?
A) tying arrangements B) price fixing among competitors C) exclusive dealing D) all of the above
The second stage in the regulatory process is
A) a crisis. B) regulation. C) response by the financial system. D) regulatory response.
Directors can make opportunistic choices to advance their personal interest when:
a. they plan to sell off the corporation stocks at inflated prices. b. they hold majority of the stocks in the corporation. c. they are aware that the cost of forming a new board of directors is high. d. their personal returns from the well being of the corporation is high.
In the medium run of a few months or a few years, exchange rate markets are influenced by ________________ rates.
a. labor b. production c. growth d. inflation