If Matt Taylor gets his $800 loan from the Paris First National Bank in cash rather than in the form of a new checkable deposit, the:
A. Paris First National Bank will get $800 in new reserves.
B. Paris First National Bank will not get $800 in new reserves.
C. assets of the Paris First National Bank will increase by $800.
D. assets of the Paris First National Bank will decease by $88.
Answer: B
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The combined efforts of the Fed and the Treasury in response to the financial crisis following the housing market crash caused:
A. aggregate supply to shift right to its pre-crisis level. B. aggregate supply to shift left, but still far below its pre-crisis level. C. aggregate demand to shift right to its pre-crisis level. D. the opposite reaction, and aggregate supply shifted farther to the left.
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a. a downward shift in the demand curve, by the per unit amount of the subsidy. b. an upward shift in the demand curve, by the per unit amount of the subsidy. c. a downward shift in the supply curve, by the per unit amount of the subsidy. d. an upward shift in the supply curve, by the per unit amount of the subsidy.
In the United States the real wages of the least-skilled, least educated workers have ________ and the wages of best-educated, highest skilled workers have ________.
A. increased; increased B. declined; remained constant C. increased; declined D. declined; increased