Author Question: Money is a more efficient store of value than wheat, especially when there is not rapid inflation. ... (Read 49 times)

olgavictoria · **on:** Jun 30, 2018

Money is a more efficient store of value than wheat, especially when there is not rapid inflation.
a. True
b. False
Indicate whether the statement is true or false

Question 2

Suppose Fed's purchase of government bonds results in a 120,000 increase in the excess reserves of a particular bank. What would be the applicable reserve requirement for the whole banking system to be able to expand the money supply by 600,000?
a. 10 percent
b. 12 percent
c. 16 percent
d. 20 percent
e. 25 percent