This topic contains a solution. Click here to go to the answer

Author Question: What is the maximum amount a bank can lend? A) its total reserves B) its excess reserves C) its ... (Read 59 times)

newyorker26

  • Hero Member
  • *****
  • Posts: 536
What is the maximum amount a bank can lend?
 
  A) its total reserves
  B) its excess reserves
  C) its excess reserves divided by the required reserve ratio
  D) the value of its checkable deposits times the required reserve ratio

Question 2

The constant growth rate rule for money, as initially proposed by Milton Friedman, has been adjusted ________.
 
  A) to take the problem of moral hazard in account
  B) to account for the role played by adaptive expectations in policy formation
  C) for the difference between real and nominal economic variables
  D) to allow for possible short-run movements in velocity



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Ddddd

  • Sr. Member
  • ****
  • Posts: 334
Answer to Question 1

B

Answer to Question 2

D




newyorker26

  • Member
  • Posts: 536
Reply 2 on: Jun 30, 2018
Wow, this really help


emsimon14

  • Member
  • Posts: 344
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

 

Did you know?

Children of people with alcoholism are more inclined to drink alcohol or use hard drugs. In fact, they are 400 times more likely to use hard drugs than those who do not have a family history of alcohol addiction.

Did you know?

Each year in the United States, there are approximately six million pregnancies. This means that at any one time, about 4% of women in the United States are pregnant.

Did you know?

There can actually be a 25-hour time difference between certain locations in the world. The International Date Line passes between the islands of Samoa and American Samoa. It is not a straight line, but "zig-zags" around various island chains. Therefore, Samoa and nearby islands have one date, while American Samoa and nearby islands are one day behind. Daylight saving time is used in some islands, but not in others—further shifting the hours out of sync with natural time.

Did you know?

Although not all of the following muscle groups are commonly used, intramuscular injections may be given into the abdominals, biceps, calves, deltoids, gluteals, laterals, pectorals, quadriceps, trapezoids, and triceps.

Did you know?

Many of the drugs used by neuroscientists are derived from toxic plants and venomous animals (such as snakes, spiders, snails, and puffer fish).

For a complete list of videos, visit our video library