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Author Question: The multiple by which total deposits can increase for every dollar increase in reserves is the (Read 120 times)

ss2343

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Question 1

Commercial banks create money through


◦ printing treasury notes.
◦ making loans.
◦ facilitating borrowing from the Federal Reserve to the public.
◦ reducing risk in the economy.

Question 2

The multiple by which total deposits can increase for every dollar increase in reserves is the


◦ required reserve ratio.
◦ bank's line of credit.
◦ deposit insurance limit.
◦ money multiplier.


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Marked as best answer by ss2343 on Apr 19, 2019

flexer1n1

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