If Tucker National Bank has $10,000 in excess reserves that it cannot lend:

A. the money multiplier increases.
B. the money multiplier decreases.
C. the money multiplier stays the same.
D. checkable deposits increase.

Answer: B

Economics

You might also like to view...

When a good gets better from one year to the next, the CPI has a what is called

A) commodity substitution bias. B) outlet substitution bias. C) magnitude of change bias. D) new goods bias. E) quality change bias.

Economics

A shortage tends to put ________ pressure on the price of the product, which ________ the quantity demanded

A) upward; increases B) upward; decreases C) downward; increases D) downward; decreases

Economics