If the desired reserve ratio is 3 percent and deposits totaled $575 billion, banks would hold
A) $534.75 in reserves.
B) $17.25 billion in excess reserves.
C) $1,725 billion in currency.
D) $17.25 billion in reserves.
D
You might also like to view...
At the utility maximizing level, the price of a shirt is $15 and the price of a trouser is $12 . At this level, the marginal utility derived from the shirt is 30 utils and the marginal utility derived from the trouser is _____
a. 24 utils b. 30 utils c. 25 utils d. 22 utils
The legal state that allows debtors to be protected from the actions of creditors is
A. bankruptcy. B. indigence. C. insolvency. D. incompetence.
George and Dan's political consulting firm is losing money, but it is more than covering its fixed costs. What is the most accurate statement we can make about it?
A. It will stay in business in the long run. B. It will go out of business in the long run. C. It will shut down in the short run. D. None of these statements are correct.
A situation in which a private cost diverges from a social cost is
A. a transactions cost. B. an internality. C. an externality. D. internal costs.