Required reserves:
A. Are equal to the required reserve ratio times total reserves.
B. Are the minimum amount of reserves a bank is required to hold.
C. Represent the dollars a bank can lend.
D. Must be held in a bank's vault.
B. Are the minimum amount of reserves a bank is required to hold.
You might also like to view...
In which case did the U.S. Supreme Court decide the Constitution was "intended to endure for ages to come and, consequently, to be adapted to various crises of human affairs"?
(a) Nebbia v New York (1934) (b) Munn v Illinois (1877) (c) McCulloch v Maryland (1819) (d) Dartmouth College v Woodward (1819)
Which of the following is true of the present value of an investment?
a. The higher the rate of interest the higher will be the present value of an investment. b. Present value of an investment is an increasing function of the time period of investment. c. The longer the time period of investment the lower will be its present value. d. Present value falls less than proportionately with the length of the delay in payment.