Other things equal, when U.S. money moves to other countries to take advantage of better foreign investment opportunities, then:
a. the U.S. money supply will increase.
b. the reserve requirement for U.S. banks will rise.
c. the U.S. money supply will decrease.
d. U.S. banks will have excess reserves to loan out.
e. the effect of the U.S. deposit expansion multiplier will be increased.
c
Economics
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Prices serve as a key means of communication between buyers and sellers
Indicate whether the statement is true or false
Economics
Assume that in the market for plasma TVs there is an increase in supply. The result will be:
A) an increase in equilibrium price and quantity. B) a decrease in equilibrium price and quantity. C) an increase in equilibrium quantity and uncertain effect on equilibrium price. D) a decrease in equilibrium price and increase in equilibrium quantity.
Economics