A reduction in the required reserve ratio has the instant effect of:
a. Increasing excess reserves.
b. Increasing bank shareholders' equity.
c. Increasing bank reserves.
d. All of the above are correct.
e. None of the above is correct.
.A
You might also like to view...
Which of the following would not be included in the expenditure category called investment expenditures?
A) a purchase of shares of preferred stock B) spending on new houses C) a purchase of a copy machine by FedEx Office D) the cars held in inventory on a local Ford dealer's lot
For a monopoly, marginal revenue is less than price because
A) the demand for the firm's output is downward sloping. B) the firm has no supply curve. C) the firm can sell all of its output at any price. D) the demand for the firm's output is perfectly elastic.
Cheating in a cartel is more likely to occur if the industry
A) has a large number of firms. B) has homogeneous products. C) has easily observable prices. D) has little variation in prices.
Which of the following observations concerning poverty rates in America is true?
a. Major increase in poverty in the decade from 1963 to 1973. b. It hit an all-time low by 1983. c. The economic boom of the 1990s restored it almost to its 1970s levels. d. It decreased from 2007 to 2009.