Author Question: Assume that the reserve requirement is 10 percent. A 1,000 cash deposit into a savings account will ... (Read 71 times)

leo leo · **on:** Jun 30, 2018

Assume that the reserve requirement is 10 percent. A 1,000 cash deposit into a savings account will immediately increase the bank's required reserves by _____.
a. 10,000.
b. 500.
c. 100.
d. 1,500.
e. 10.

Question 2

When supply shifts to the left, it would make the surplus from a price floor smaller, other things equal.
a. True
b. False
Indicate whether the statement is true or false