The first signs of major financial problems associated with the financial sector and real estate investment appeared in 2009

Labor force participation is similar for males ages 25-64 with different levels of education completed

Indicate whether the statement is true or false

A bank's assets consist of $500,000 in total reserves, $1,600,000 in loans, and a building worth $1,200,000 . Its liabilities and capital consist of $2,000,000 in demand deposits and $1,300,000 in capital. If the required reserve ratio is 10 percent, what is the level of the bank's excess reserves? How much could it loan out as a result?

a. $200,000; $200,000 b. $200,000; $2,000,000 c. $300,000; $300,000 d. $300,000; $3,000,000