Which of the following variables that affect the money stock are outside the direct control of the Federal Reserve?

Question

Quizplus · Accepted Answer

The currency/deposit ratio and the excess reserve/deposit ratio are influenced by the behavior of banks and the non-bank public, thus outside the direct control of the Federal Reserve. The Federal Reserve cannot directly control how much currency the public decides to hold relative to deposits or how much banks choose to hold in excess reserves.

Which of the Following Variables That Affect the Money Stock