Author Question: Excess reserves are equal to: a. total reserves plus required reserves. b. total reserves ... (Read 154 times)

saliriagwu · **on:** Jun 30, 2018

Excess reserves are equal to:
a. total reserves plus required reserves.
b. total reserves multiplied by required reserves.
c. total reserves minus loans.
d. total reserves minus required reserves.
e. required reserves minus loans.

Question 2

If a price ceiling of 5 per gallon is imposed on gasoline, and the market equilibrium price is 4.50, then the price ceiling is a binding constraint on the market.
a. True
b. False
Indicate whether the statement is true or false