Since 1980,________ are subject to reserve requirements.
A)only commercial banks
B)only the member institutions of the Federal Reserve
C)only nationally chartered depository institutions
D)all depository institutions

Question

Quizplus · Accepted Answer

Since 1980, all depository institutions have been subject to reserve requirements, including commercial banks, member institutions of the Federal Reserve, and nationally chartered depository institutions. This means that these institutions are required to hold a certain percentage of their deposits in reserve and cannot lend out all of their deposits. This is a tool used by the Federal Reserve to control the money supply and keep inflation in check.

Since 1980,________ Are Subject to Reserve Requirements