Briefly explain the process of multiple deposit creation

What will be an ideal response?

Part of the money supply process in which an increase in bank reserves results in rounds of bank loans and creation of checkable deposits and an increase in the money supply that is a multiple of the initial increase in reserves.

Economics

You might also like to view...

The __________ is a regulator of financial markets?

A) U.S. Treasury B) SEC C) FDIC D) NCUA

Economics

An increase in the consumption of a good resulting from a reduction in price that makes the good cheaper in relation to other goods is called the

a. substitution effect. b. income effect. c. real balance effect. d. inelasticity effect.

Economics