The Required Reserve Ratio Is the

Multiple Choice

The required reserve ratio is the

A) total amount of reserves the bank holds at the Fed.
B) amount of excess reserves the bank holds just in case.
C) amount of reserves banks are required by the Fed to be held as a percentage of the bank's loans.
D) amount of reserves banks are required by the Fed to be held as a percentage of the bank's deposits.
E) total amount of reserves the bank holds in its vaults.