Suppose a bank has $10 million in deposits with no excess reserves, and the reserve requirement is 20%. If the Fed reduces the reserve requirement to 5%, the bank can make a maximum loan of
A) $0.
B) $0.5 million.
C) $1.5 million.
D) $2 million.
C
Economics
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The above figure shows the U.S. market for chocolate. With international trade, consumer surplus is equal to
A) area A + area B + area C + area D. B) area A. C) area B + area C + area D. D) area C + area D. E) area E.
Economics
The selling of a good or service abroad at a price below what is charged in the home market or below the cost of production is referred to as
A) recycling. B) a quota. C) dumping. D) a tariff.
Economics