A banking system that provides people immediate access to their deposits, but that allows banks to hold only a portion of those deposits on reserve, is known as:
a. an excess reserve system.
b. a fractional reserve system.
c. the Fed.
d. the FDIC.
e. an asset-based system.
b
Economics
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The equilibrium price in the above figure is
A) $2. B) $4. C) $6. D) $8.
Economics
Which of the following events is likely to generate a demand for U.S. dollars in the foreign exchange market?
A) A Saudi Arabian citizen buys a condominium in New York. B) An American student will begin her first year of college at Oxford, England. C) Wal-Mart imports 5,000 bicycles from China to sell in its stores. D) The Illinois Chamber of Commerce will finance and lead a trade mission to India.
Economics