Author Question: The formula for the tax multiplier is A) (1 + b) / (1 - b). B) 1 / (1 - b). C) -b / (1 - b). D) b ... (Read 22 times)

stevenposner · **on:** Jun 30, 2018

The formula for the tax multiplier is

A) (1 + b) / (1 - b). B) 1 / (1 - b). C) -b / (1 - b). D) b / (1 - b).

Question 2

A bank with 200 million in transaction deposits keeps 20 million in cash in the bank vault, 10 million in deposits at the Fed, and 5 million in government securities in the bank vault. Its total reserves equal

A) 30 million. B) 10 million. C) 20 million. D) 35 million.

kkenney · **Reply #1 on:** Jun 30, 2018

Answer to Question 1

C

Answer to Question 2

A

stevenposner · **Reply #2 on:** Jun 30, 2018

Thank you

kkenney · **Reply #3 on:** Jun 30, 2018

No problemo

Author Question: The formula for the tax multiplier is A) (1 + b) / (1 - b). B) 1 / (1 - b). C) -b / (1 - b). D) b ... (Read 22 times)

stevenposner

The formula for the tax multiplier is A) (1 + b) / (1 - b). B) 1 / (1 - b). C) -b / (1 - b). D) b ...

kkenney

The formula for the tax multiplier is A) (1 + b) / (1 - b). B) 1 / (1 - b). C) -b / (1 - b). D) b ...

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stevenposner

The formula for the tax multiplier is A) (1 + b) / (1 - b). B) 1 / (1 - b). C) -b / (1 - b). D) b ...

kkenney

The formula for the tax multiplier is A) (1 + b) / (1 - b). B) 1 / (1 - b). C) -b / (1 - b). D) b ...