Money GNP in 1940 was $100 billion; in 1948 it was $260 billion. The price index...
Money GNP in 1940 was $100 billion; in 1948 it was $260 billion. The price index in 1940 was 100 and in 1948 it was 180. Between 1940 and 1948 real GNP rose by:
A. 75 billion
B. 150 billion
C. 44 billion
D. 125 billion
Assume Company X deposits $100,000 in cash in commercial Bank A. If no excess reserves exist at the time of this deposit and the reserve ratio is 20 percent, Bank A can increase the money supply by a maximum of:
A. $100,000
B. $80,000
C. $500,000
D. $50,000
Which of the following will tend to increase commercial bank reserves?
A. The sale of government bond in the open market by the Federal Reserve Bank
B. Treasury sales of gold to licensed buyers
C. Treasury tax collections
D. Treasury disbursements for the construction of an interstate highway
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Money GNP in 1940 was $100 billion; in 1948 it was $260 billion.
The price index...
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1. The goldsmith's ability to create money was based on the fact that: a) withdrawals of gold tended to exceed deposits of gold in any given time period. b) consumers and merchants preferred to use gold for transactions, rather than paper money. c) the goldsmith was required to keep 100 percent gold reserves. d) deposits of gold tended to exceed withdrawals of gold in any given time period. 2. In a fractional reserve banking system: a) deposit insurance increases the...
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4- When the Fed conducts open-market sales, a. it sells Treasury securities, which decreases the money...
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If the Open Market Purchase is $1 billion by approximately how
much will the supply of Money increase? Use my attached sheet to
answer this. How does your answer change if the reserve requirement
is lowered to 0%?
11 1x reserve requirement A c M 1 Transaction $1,000 2 1 3 reau in ce loan 51.000 51.000.00 $900.00 $310.00 5729.00 56561 $$90.43 5531.46 $478.30 $430.47 $187 42 $140.6 5311.30 5 6 7 G H percento Terve deposited Deposit Resverato requirement...
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16. Money market instruments issued by the U.S. Treasury are called (a) Treasury bills. (b) Treasury...
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If the quantity of money demanded is $100 billion and the quantity of money supplied is...
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answer please 25. A bank borrows money from another bank on an overnight basis to meet...
answer please
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9 In the U.S econormy the money supply is cot A) U.S Treasury. B) Federal Reserve System D) Senate Committee on Banking and Finance. 10. Ceteris paribus, if the Fed raised the required reserve ratio A) Banks could increase their lending B) The Federal funds interest rate would rise. The size of the monetary multiplier would decrease. D) The size of the monetary multiplier would increase. 11. Money is created when A) Loans are made. Checks written on one bank...
If the Open Market Purchase is $1 billion by approximately how
much will the supply of Money increase? Use my attached sheet to
answer this. How does your answer change if the reserve requirement
is lowered to 0%?
11 1x reserve requirement A c M 1 Transaction $1,000 2 1 3 reau in ce loan 51.000 51.000.00 $900.00 $310.00 5729.00 56561 $$90.43 5531.46 $478.30 $430.47 $187 42 $140.6 5311.30 5 6 7 G H percento Terve deposited Deposit Resverato requirement...
DJ. It has $559 in reserves and $9445 in loans. ? 2. The ability of banks to create money has its source in which of the following A. the 100 percent reserve requirement B. fractional-reserve banking (i.e. less than 100 percent reserve requirement) C. the ability of the government to mint as much currency as it wishes D. the banks' ability to issue currency (bank notes) of their own ? 3. Which of the following items is a liability to...
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answer please
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