Author Question: Suppose Bank X is holding total cash reserves of 32,000 on deposits of 90,000 . If the reserve ... (Read 43 times)

Tazate · **on:** Jun 30, 2018

Suppose Bank X is holding total cash reserves of 32,000 on deposits of 90,000 . If the reserve requirement is 15 percent, then the excess reserves held by this bank is:
a. 27,200.
b. 58,000.
c. 4,800.
d. 13,200.
e. 18,500.

Question 2

For the price in a market to remain the same, while the quantity traded fell, both supply and demand would have to shift to the left.
a. True
b. False
Indicate whether the statement is true or false