When a bank has a check drawn and cleared against it:
A. excess reserves in the banking system decline.
B. the nation's total money supply falls.
C. the bank's balance sheet does not change.
D. the amount of required reserves the bank must have will fall.
D. the amount of required reserves the bank must have will fall.
Economics
You might also like to view...
Some of the nation's best minds are occupied with devising schemes to avoid taxes and to transfer income to favored groups at the expense of market efficiency. This is called _____
A) hedging. B) pork-barrel spending. C) rent seeking. D) skimming. E) profiteering.
Economics
In the short-run
A) the aggregate supply curve is upward sloping. B) real GDP is always equal to potential GDP. C) the money wage rate can change. D) the price level does not change.
Economics