A bank receives a demand deposit of $3,000 . The bank loans out $1,800 of this deposit and increases its excess reserves by $300 . What is the required reserve ratio?
a. 10%
b. 30%
c. 40%
d. 60%
b
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Which of the following will lower the money multiplier?
a. An increase in the currency/checkable deposit ratio b. A decrease in the excess reserve/checkable deposit ratio c. A decrease in the required reserve/checkable deposit ratio d. Either a or b e. All of the above
The ________ principle of taxation is not often used because it is difficult to determine the values individual taxpayers place on goods and services that are produced using tax revenue.
A. vertical equity B. horizontal equity C. benefits-received D. ability-to-pay
Over the last 50 years, the employment ratio has risen most significantly among ________
A) men B) women C) blacks D) Hispanics
Inflation helps lenders and hurts borrowers
Indicate whether the statement is true or false