How would you define a currency board?
A) the process by which non-pegged interest rates are allowed to fluctuate
B) the stockpiling of international reserves by developing countries
C) using the dollar to carry out all domestic transactions, making the domestic currency a currency in name alone
D) a constraint placed on monetary policy
E) The monetary bases is backed entirely by foreign currency and the central bank holds no domestic assets.
E
Economics
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Suppose a bank has $1,500,000 in deposits and the desired reserve ratio is 12 percent. If the bank is currently holding $200,000 in reserves, the excess reserves are equal to
A) zero. B) $180,000. C) $120,000. D) $20,000.
Economics
What relationships do a firm's short-run cost curves show?
What will be an ideal response?
Economics