This topic contains a solution. Click here to go to the answer

Author Question: The money multiplier _______. A. increases if banks increase their desired reserve ratio B. ... (Read 110 times)

MirandaLo

  • Hero Member
  • *****
  • Posts: 538
The money multiplier _______.
 
  A. increases if banks increase their desired reserve ratio
  B. increases if the currency drain ratio increases
  C. is 1 if the desired reserve ratio equals the currency drain ratio
  D. decreases if banks increase their desired reserve ratio

Question 2

Each point on a demand curve shows
 
  A) the consumer surplus received from purchasing a given quantity of a product.
  B) the legally determined maximum price that sellers may charge for a given quantity of a product.
  C) the willingness of consumers to purchase a product at different prices.
  D) the economic surplus received from purchasing a given quantity of a product.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Chocorrol77

  • Sr. Member
  • ****
  • Posts: 313
Answer to Question 1

D If banks increase their desired reserve ratio, they will make fewer loans, which decreases the size of the money multiplier.

Answer to Question 2

C




MirandaLo

  • Member
  • Posts: 538
Reply 2 on: Jun 29, 2018
YES! Correct, THANKS for helping me on my review


Liamb2179

  • Member
  • Posts: 365
Reply 3 on: Yesterday
Wow, this really help

 

Did you know?

The longest a person has survived after a heart transplant is 24 years.

Did you know?

On average, someone in the United States has a stroke about every 40 seconds. This is about 795,000 people per year.

Did you know?

Drying your hands with a paper towel will reduce the bacterial count on your hands by 45–60%.

Did you know?

People about to have surgery must tell their health care providers about all supplements they take.

Did you know?

Signs and symptoms of a drug overdose include losing consciousness, fever or sweating, breathing problems, abnormal pulse, and changes in skin color.

For a complete list of videos, visit our video library