Which of the following accurately describes the relationship between excess reserves and checkable deposits following the financial crisis of 2007-2009?
A) Excess reserves declined as the excess reserve ratio returned to near zero.
B) Excess reserves rose to nearly one-third of checkable deposits.
C) Excess reserves approached the same level as checkable deposits.
D) Excess reserves exceeded checkable deposits.
D
You might also like to view...
Answer the following statements true (T) or false (F)
1. The ability to produce a good or service at a lower opportunity cost than other producers face is known as comparative advantage. 2. The ability of a nation to gain from specialization and exchange is affected by factors such as shipping costs and exchange rates. 3. One cause for the uneven standard of living throughout the world is the uneven distribution of resources. 4. The application of the principle of comparative advantage requires each of two trading partners to have an absolute advantage over the other in the production of some particular commodity.
When barriers to entry are high, a monopolist (or cartel) will often be able to increase their profits by
a. expanding their output so they can increase their price. b. reducing their output so they can raise their price. c. expanding their output so they can lower their price. d. reducing their output so they can lower their price.
Give an example, not similar to the text material, where you erroneously took sunk costs into account where it was inappropriate to do so.
What will be an ideal response?
The absence of clear property rights inhibits investment and economic growth.
Answer the following statement true (T) or false (F)