If the required reserve ratio is 10 percent, currency in circulation is $400 billion, checkable deposits are $800 billion, and excess reserves total $0.8 billion, then the money supply is ________ billion
A) $8000
B) $1200
C) $1200.8
D) $8400
B
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If you deposit a $50 check in the bank, the immediate impact on your bank's balance sheet will be a
A) $50 increase in reserves and a $50 increase in checkable deposits. B) $50 decrease in reserves and a $50 increase in checkable deposits. C) $50 increase in reserves and a $50 decrease in checkable deposits. D) $50 decrease in liabilities and a $50 increase in checkable deposits.
Inputs in production processes are called resources
a. True b. False Indicate whether the statement is true or false
Fundamentally, economics deals with
a. scarcity. b. money. c. poverty. d. banking.
Recall the Application. If the decrease in price of illegal drugs is primarily due to a change in supply, the equilibrium quantity of drugs
A) will increase. B) will decrease. C) will not change. D) may or may not change.