When Maria deposits $100 in currency in her checkable deposit at Bank of America, the immediate effect is that the quantity of M1
A) decreases.
B) does not change.
C) increases.
D) changes, but the direction of the change depends on whether the deposit was accepted by a thrift institution or a commercial bank.
E) changes only if Bank of America does not have excess reserves.
B
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Suppose that the demand for artichokes (Qa) is given as: Qa = 200 - 4P. Suppose that the price of artichokes is increased slightly from $10. The total expenditure by consumers on artichokes will ________ and the number of artichokes sold will ________.
A. rise; rise B. fall; fall C.fall; rise D. rise; fall
Under the European System of Central Banks, the Governing Council is similar in structure to the ________ of the Federal Reserve System
A) Board of Governors B) Federal Open Market Committee C) Federal Reserve Banks D) Federal Advisory Council