Whenever somebody deposits a check from bank A into a checkable deposit at bank B, bank A's reserves ________ and bank B's reserves ________
A) increase; decrease
B) increase; increase
C) decrease; decrease
D) decrease; increase
E) do not change; do not change
D
You might also like to view...
Jim is haggling with a car dealer on the price of a used car. During the bargaining, the storekeeper discovers that the car's stereo is better than he or Jim originally realized. If Jim is a huge music fan, the total surplus available from the sale
a. Increases b. Decreases c. Is not affected d. All of the above
If aggregate expenditures are less than real GDP, then:
a. both inventories and real GDP will decline. b. inventories will decline but real GDP will increase. c. inventories will increase and real GDP will decline. d. both inventories and real GDP will increase. e. inventories will increase but real GDP will remain unchanged.
If the MU/P for video rentals is 5 and the MU/P for movie theaters is 8, this person should go to movie theaters more often and rent fewer videos
Indicate whether the statement is true or false
In nondemocratic countries that have experienced consistent economic growth and improvements in their standards of living
A. there is a tendency to become democratic over time. B. the rise of special-interest groups usually promotes competition and growth. C. there is no tendency to become more democratic over time because the current political situation is economically successful. D. political freedom is apt to decrease over time as governments become more controlling.