If M = the quantity of money, m, the money multiplier, MB, the Monetary Base, C = Currency, D = Deposits, R = Reserves, RR = required reserves, and ER = Excess reserves, then C + R would equal:
A. ER.
B. MB.
C. R.
D. M.
Answer: B
You might also like to view...
The simple deposit multiplier is:
A) 1/excess reserves. B) 1/reserve requirement. C) 1/deposit requirement. D) none of the above.
Currencies of different countries are traded in the so-called
A) money market. B) foreign exchange market. C) capital account. D) current account.
According to the above table, the value of M2 is
A) $3,807 billion. B) $5,237 billion. C) $6,237 billion. D) $6,253 billion.
It is efficient to increase the output of computers if
a. society considers the extra computers more valuable than other goods foregone to produce the computers. b. the opportunity cost of more computers is greater than their marginal utility. c. computer production can be increased only if production of other goods is decreased. d. the price of the computers is equal to their average cost.