Reserves of a bank equal its A) deposits with the Federal ...

[torybrooks]

Reserves of a bank equal its
 
  A) deposits with the Federal Reserve.
  B) vault cash plus deposits of its customers.
  C) vault cash plus deposits with the Federal Reserve.
  D) vault cash.

Question 2

The government purchases multiplier equals the change in ________ divided by the change in ________.
 
  A) consumption spending; government purchases B) government purchases; consumption spending
  C) government purchases; equilibrium real GDP D) equilibrium real GDP; government purchases

[mirabriestensky]

Answer to Question 1

C

Answer to Question 2

D