Suppose University Bank has zero excess reserves. If the required reserve ratio decreases, the
A. Bank's assets will increase.
B. Money multiplier will decrease.
C. Bank will be able to make more loans.
D. Bank will not have enough required reserves.
Answer: C
Economics
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The "Law of Diminishing Returns" states that
A) additional inputs will reduce output. B) additional inputs will decrease average productivity. C) the supply of inputs is becoming scarce. D) additional inputs will lead to less additional output.
Economics
Jane regularly sends funds to organizations seeking to save endangered animal species. This is an example of:
a. fairness. b. altruism. c. selfishness. d. self-interest.
Economics