A reduction in the required reserve ratio has the instant effect of:
a. Increasing bank shareholders' equity.
b. Increasing total bank reserves
c. Increasing excess reserves.
d. None of the above is correct.
e. Increasing the monetary base.
.C
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Most grievances that do not involve a contractual matter can be resolved by ______.
a. the chief of police b. the city attorney c. the police captain d. the first line supervisor
When demand increases and the demand curve shifts to the right, equilibrium price ________ and equilibrium quantity ________
A) increases; increases B) decreases; decreases C) decreases; increases D) increases; decreases
The issuer of a bond is a lender.
Answer the following statement true (T) or false (F)
Real-world accuracy of the money multiplier can be affected by:
a. the amount of loans provided by nonbanks. b. the way the public divides its holding of M1 between currency and certificates of deposit. c. the willingness of banks to loan excess reserves. d. all of these.