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Author Question: When reserve requirements are increased, the: a. excess reserves of commercial banks will decrease. ... (Read 147 times)

jlmhmf

  • Hero Member
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  • Posts: 552
on: Jun 30, 2018
When reserve requirements are increased, the:
 a. excess reserves of commercial banks will decrease.
  b. excess reserves of commercial banks will increase.
  c. U.S. Treasury will have to borrow additional funds.
  d. money supply will rise.

Question 2

Which of the following would cause the money supply in the United States to decrease?
 a. An increase in reserve requirements
  b. A decrease in the discount rate
  c. A purchase of U.S. government bonds by the Federal Reserve
  d. An increase in the world supply of gold


ansleighelindsey

  • Sr. Member
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  • Posts: 364
Reply #1 on: Jun 30, 2018
Answer to Question 1

a

Answer to Question 2

a


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