The amount of money that a bank must keep on hand per dollar of deposits is called

A) the discount rate.
B) the quick ratio.
C) the multiplier.
D) the reserve requirement.


D

Economics

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To achieve long-run equilibrium in an economy with a recessionary gap, without the use of stabilization policy, the inflation rate must:

A. not change. B. increase. C. decrease. D. either increase or decrease depending on the relative shifts of AD and AS.

Economics

Is there one optimal environmental standard for the entire world? If not, how might using trade barriers to enforce country-specific environmental standards reduce overall well being?

What will be an ideal response?

Economics

The primary market is where:

a. Debt and equity instruments are bought and sold after they are first issued. b. Primary real assets are linked with primary financial assets. c. Central banks and governments perform their pump-priming activities. d. Debt and equity instruments are bought and sold when they are first issued. e. None of the above.

Economics

Higher standards of living are the result of

A) an increase in the availability of goods and services that people value. B) an increase in the general level of prices. C) trade restrictions that favor domestic industries over foreign competition. D) government subsidies that expand employment.

Economics