Multiple Choice
Holding reserves is costly for banks because:
A) it forces banks to pay for ATMs.
B) it leads to the risk of bank robberies.
C) it leads to fewer profits.
D) the Fed charges banks interest on required reserves.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q15: The government's bank and the bankers' bank
Q31: An increase in the growth rate of
Q90: The financial crisis of 2008 illustrates that:<br>A)
Q103: When the Federal Reserve buys bonds,the supply
Q127: Money market mutual funds are more liquid
Q153: Who was chair of Federal Reserve System
Q189: The required reserve ratio is determined by
Q210: Large private banks keep their own accounts
Q231: Bank A has $100 million in deposits,
Q235: An increase in the required reserve ratio