Author Question: For a commercial bank, the term reserves refers to A) a banker's concern (reservation) in making ... (Read 63 times)

bobypop · **on:** Jun 29, 2018

For a commercial bank, the term reserves refers to

A) a banker's concern (reservation) in making loans to an individual without a job.
B) the profit that the bank retains at the end of the year.
C) the cash in its vaults and its deposits at the Federal Reserve.
D) the net interest that it earns on loans.

Question 2

Technological progress that increases the expected profit shifts the demand for loanable funds curve

A) leftward and reduces the real interest rate.
B) rightward and increases the real interest rate.
C) rightward and reduces the real interest rate.
D) leftward and increases the real interest rate.