A) The Federal Reserve decides to link the value of money to a scarce, rare earth metal.
B) The Federal Reserve decides to sell existing treasury securities.
C) The Federal Reserve increases the required reserve ratio.
D) The Federal Reserve increases the discount rate.
E) The Federal Reserve decides to link the value of money to water (a commodity) .
Correct Answer
verified
Correct Answer
verified
A) $100,000
B) $15,000
C) $40,000
D) $60,000
E) $0
Correct Answer
verified
Correct Answer
verified
Correct Answer
verified
U.S.Treasury securities are used for two...View Answer
Correct Answer
verified
View Answer
A) Money rapidly gains and loses value over time.
B) Money loses a constant amount of value over time.
C) Money can be used to purchase approximately the same amount of goods over time.
D) Money encourages a double coincidence of wants.
E) Money is accepted by all merchants.
Correct Answer
verified
Correct Answer
verified
A) Banks only lend to borrowers who they know will pay them back.
B) Banks lend out all deposits and hold no reserves.
C) Banks hold all deposits as vault cash.
D) All currency is deposited in a bank.
E) Individuals do not deposit any currency in a bank.
Correct Answer
verified
Correct Answer
verified
A) Banks only lend to borrowers who they know will pay them back.
B) Banks hold no excess reserves.
C) Banks lend out all deposits and hold no reserves.
D) Banks hold all deposits as vault cash.
E) Individuals do not deposit any currency in a bank.
Correct Answer
verified
Correct Answer
verified
A) It would increase by $500,000 multiplied by the reciprocal of the required reserve ratio.
B) It would decrease by $500,000 multiplied by the reciprocal of the required reserve ratio.
C) There would be no change to the money supply.
D) It would increase by $500,000.
E) It would decrease by $500,000.
Correct Answer
verified
Correct Answer
verified
Showing 141 - 147 of 147
Related Exams