« previous next »

Author Question: Suppose checking deposits increase by 6,000 after all rounds of the money-creation process when the ... (Read 29 times)

eruditmonkey@yahoo.com

  • Hero Member
  • *****
  • Posts: 546
on: Jun 30, 2018
Suppose checking deposits increase by 6,000 after all rounds of the money-creation process when the Fed buys 1,200 worth of U.S. government securities. This implies that the maximum value of the required reserve ratio is:
 a. 5.
 b. 0.75.
  c. 0.2.
 d. 1.2.
 e. 1.0.

Question 2

In the income-expenditure framework, if planned aggregate expenditures are greater than real gross domestic product (GDP), _____.
 a. the price level will fall
 b. consumption will fall
 c. inventories will increase
 d. inventories will decrease
 e. consumption will decrease


mjenn52

  • Sr. Member
  • ****
  • Posts: 351
Reply #1 on: Jun 30, 2018
Answer to Question 1

c

Answer to Question 2

d


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

The Centers for Disease Control and Prevention has released reports detailing the deaths of infants (younger than 1 year of age) who died after being given cold and cough medications. This underscores the importance of educating parents that children younger than 2 years of age should never be given over-the-counter cold and cough medications without consulting their physicians.

Did you know?

Aspirin may benefit 11 different cancers, including those of the colon, pancreas, lungs, prostate, breasts, and leukemia.

Did you know?

Methicillin-resistant Staphylococcus aureus or MRSA was discovered in 1961 in the United Kingdom. It if often referred to as a superbug. MRSA infections cause more deaths in the United States every year than AIDS.

Methicilli ...
Did you know?

Critical care patients are twice as likely to receive the wrong medication. Of these errors, 20% are life-threatening, and 42% require additional life-sustaining treatments.

Did you know?

Though Candida and Aspergillus species are the most common fungal pathogens causing invasive fungal disease in the immunocompromised, infections due to previously uncommon hyaline and dematiaceous filamentous fungi are occurring more often today. Rare fungal infections, once accurately diagnosed, may require surgical debridement, immunotherapy, and newer antifungals used singly or in combination with older antifungals, on a case-by-case basis.

The attachment process The attachment process
Types of Ore Deposits— Metamorphism Types of Ore Deposits— Metamorphism
How to calculate regular payments or deposits using the annuity formula (Question 2) How to calculate regular payments or deposits using the annuity formula (Question 2)
Diagrammatic representation of the process of molecular hybridization Diagrammatic representation of the process of molecular hybridization
Determine m​, ​n, and i for money invested at 3.6​% compounded semi-annually for 3.5 ... Determine m​, ​n, and i for money invested at 3.6​% compounded semi-annually for 3.5 ...
Macrophage caught in the process of engulfing tuberculosis bacteria. Macrophage caught in the process of engulfing tuberculosis bacteria.
Video: Gastrin (protein digestion)

For a complete list of videos, visit our video library