A U-shaped long-run average cost curve implies that a firm experiences economies of scale at low levels of production and diseconomies of scale at high levels of production

Which of the following would cause the investment demand curve to shift?

a. Animal spirits (expectations). b. Technological change. c. Change in business taxes. d. All of these.

Answer the question based on the following consolidated balance sheet for the commercial banking system. Assume the required reserve ratio is 12 percent. All figures are in billions of dollars:

Refer to the above data. If the commercial banking system actually loans out the maximum amount it is able to lend, excess reserves will fall:

A. By $28 billion

B. By $22 billion

C. By $20 billion

D. To zero