Author Question: When the desired reserve ratio is 10 percent, suppose the Fed buys 1,000,000 of government ... (Read 50 times)

rl · **on:** Jun 29, 2018

When the desired reserve ratio is 10 percent, suppose the Fed buys 1,000,000 of government securities from banks. As a result, the banks' excess reserves

A) increase by 900,000.
B) increase by 1,000,000.
C) increase by 10,000.
D) decrease by 10,000.
E) decrease by 1,000,000.

Question 2

The prisoners' dilemma is an example of a(n) ________ game.

A) simultaneous move
B) extensive-form
C) zero-sum
D) mixed strategy