menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Principles of Economics Study Set 1
  4. Exam
    Exam 22: Money Prices and the Federal Reserve
  5. Question
    When the Actual Reserve-Deposit Ratio Exceeds the Desired Reserve-Deposit Ratio
Solved

When the Actual Reserve-Deposit Ratio Exceeds the Desired Reserve-Deposit Ratio

Question 8

Question 8

Multiple Choice

When the actual reserve-deposit ratio exceeds the desired reserve-deposit ratio banks:


A) do nothing because this is a profitable situation.
B) stop making loans.
C) send the extra reserves to the central bank.
D) make more loans.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q3: Based on the following information, the

Q4: Based on the information in the table,

Q5: Deposit insurance is a system in which

Q6: When the Federal Reserve buys government bonds

Q7: Two countries, Alpha and Beta, have the

Q9: The introduction of credit cards and debit

Q10: An open-market purchase of government securities by

Q11: Commercial banks create new money:<br>A)when they increase

Q12: The reserve-deposit ratio equals:<br>A)10 percent of bank

Q13: Bank reserves are:<br>A)currency and customer checking deposits.<br>B)currency,

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines