Author Question: A change in the required reserve ratio changes: a. the amount of actual reserves in the banking ... (Read 102 times)

oliviahorn72

  • Hero Member
  • *****
  • Posts: 579
A change in the required reserve ratio changes:
 a. the amount of actual reserves in the banking system.
 b. the amount of excess reserves in the banking system.
 c. the value of government securities held by the Fed.
 d. the level of insurance for banks who are members of the FDIC.

Question 2

New classical economists contend that an unexpected increase in the money supply will:
 a. increase the unemployment rate in the short run.
  b. reduce the unemployment rate in the short run.
  c. cause no short-run change in the unemployment rate.
  d. reduce the unemployment rate in the long run.
  e. increase the unemployment rate in the long run.



Viet Thy

  • Sr. Member
  • ****
  • Posts: 329
Answer to Question 1

b

Answer to Question 2

b



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

In ancient Rome, many of the richer people in the population had lead-induced gout. The reason for this is unclear. Lead poisoning has also been linked to madness.

Did you know?

In 1864, the first barbiturate (barbituric acid) was synthesized.

Did you know?

Many people have small pouches in their colons that bulge outward through weak spots. Each pouch is called a diverticulum. About 10% of Americans older than age 40 years have diverticulosis, which, when the pouches become infected or inflamed, is called diverticulitis. The main cause of diverticular disease is a low-fiber diet.

Did you know?

According to the National Institute of Environmental Health Sciences, lung disease is the third leading killer in the United States, responsible for one in seven deaths. It is the leading cause of death among infants under the age of one year.

Did you know?

In 1886, William Bates reported on the discovery of a substance produced by the adrenal gland that turned out to be epinephrine (adrenaline). In 1904, this drug was first artificially synthesized by Friedrich Stolz.

For a complete list of videos, visit our video library