Which of the Following Most Clearly Limits the Ability of the Commercial

Multiple Choice

Which of the following most clearly limits the ability of the commercial banking industry to expand the money supply?

A) The reserve requirements mandated by the Fed.
B) The number of commercial bank charters issued by the Fed.
C) The dollar value of the bonds issued by the U.S. Treasury.
D) The federal funds interest rate that commercial banks pay (and receive) for short-term loanable funds.