Which of the following would cause the money supply in the United States to decrease?
A) an increase in reserve requirements
B) a decrease in the discount rate
C) a purchase of bonds by the Federal Reserve
D) an increase in the world supply of gold
Correct Answer:
Verified
Q35: A bank finds itself short of required
Q43: Open market operations is the
A) tool most
Q51: Suppose the Fed bought $150 million of
Q53: When reserve requirements are increased, the
A) excess
Q99: Assume the reserve requirement is 10 percent.
Q104: Which of the following is correct?
A)The Federal
Q131: Excess reserves of banks equal
A) actual reserves
Q151: If the Fed injects additional reserves into
Q155: If many people were to suddenly deposit
Q156: Drawing on her account at Regional Bank,
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents