The amount of cash kept as reserves divided by the total amount of demand deposits is known as the:
A) reserve ratio.
B) demand deposit ratio.
C) demand-reserve ratio.
D) federal funds rate.
Correct Answer:
Verified
Q21: If there were no fractional reserve banking:
A)
Q22: Any amount that a bank chooses to
Q23: The amount that a bank is legally
Q24: Commodity-backed money is:
A) any form of money
Q25: The smaller the reserve ratio, the:
A) less
Q27: We know how many dollars banks create
Q28: If the reserve ratio was 100 percent,
Q29: The ratio of money created by the
Q30: A larger money multiplier means:
A) the reserve
Q31: The money multiplier is approximated as being
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