In a simplified banking system, the money multiplier falls as the required reserve ratio rises

a. True
b. False
Indicate whether the statement is true or false

True

Economics

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Refer to the above figure. At real GDP of $1 trillion, actual investment equals

A) planned investment of $1 trillion. B) planned saving of $1 trillion. C) actual saving of 0. D) unanticipated inventory adjustments of $1 trillion.

Economics

Which of the following options could be used to eliminate a recessionary gap?

a. Decrease government spending b. Decrease consumption c. Decrease investment d. Decrease taxes

Economics