________ can be altered to change the lending capacity of the banking system.

A. Points charged on a typical first mortgage
B. The reserve requirement
C. The dollar exchange rate
D. Gold reserves

Answer: B

Economics

You might also like to view...

Economic theory assumes people want

A) material goods primarily. B) money in preference to all other goods. C) more of everything. D) to advance the projects in which they are interested. E) what serves selfish rather than altruistic goals.

Economics

Firm A can produce a unit of output with 10 hours of labor and 5 units of material. Firm B can produce a unit of output with 5 hours of labor and 10 units of material

Firm C can produce a unit of output with 10 hours of labor and 10 units of material. If the prices of labor and material are $10 per hour and $5 per unit, respectively, which of these firms is the most technologically efficient? A) firm A only B) firm B only C) firm C only D) Firms A and B could both be technologically efficient.

Economics