Multiple Choice
If the Fed makes an open market purchase of $1 million of government securities,the monetary base
A) is decreased by $1 million.
B) is unchanged in size,though its composition changes.
C) is increased by $1 million.
D) will decrease by a multiple of $1 million over time.
E) will increase by a multiple of $1 million over time.
Correct Answer:
Verified
Correct Answer:
Verified
Q141: The Fed is a central bank and
Q142: Physical currency is _ popular than e-cash,_.<br>A)less;and
Q143: The president of which Federal Reserve Bank
Q144: If the desired reserve ratio decreases,then<br>A)banks' desired
Q145: For a commodity or token to be
Q147: Excess reserves are the<br>A)same as the required
Q148: A bank has reserves of $50,deposits of
Q149: M2 equals<br>A)M1 and is just another name
Q150: An increase in the currency drain ratio<br>A)decreases
Q151: The minimum percent of deposits that banks