A commercial bank's ability to lend is determined by its
A) required reserves.
B) excess reserves.
C) total reserves.
D) capital.
Correct Answer:
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Q29: If the required reserve ratio is decreased
Q30: If original excess reserves are $10 million,
Q31: Assume that there are no excess reserves,
Q32: If the required reserve ratio is .10,
Q33: Assume a required reserve ratio of .4.
Q35: If the required reserve ratio is increased
Q36: If the required reserve ratio is .2
Q37: The demand deposit multiplier _ as the
Q38: Assume a required reserve ratio of .25
Q39: A bank can safely lend only an
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