When bankers hold excess reserves:
A. The size of the monetary multiplier increases
B. The money-creating potential of the banking system increases
C. The money-creating potential of the banking system decreases
D. There is no change in the money-creating potential of the banking system
C. The money-creating potential of the banking system decreases
Economics
You might also like to view...
A natural monopoly is likely to experience diseconomies of scale
Indicate whether the statement is true or false
Economics
The additional production resulting from hiring one more worker is
A) marginal physical product. B) marginal cost. C) marginal production. D) additional production.
Economics