Which of the following is an outcome of an increase in the reserve requirement ratio?
A) DIs may hold fewer reserves against their transaction accounts.
B) DIs are able to lend out a greater percentage of their deposits.
C) Increased credit availability in the economy.
D) DIs are only able to lend a smaller percentage of their deposits than before.
Correct Answer:
Verified
Q62: Property-casualty insurance companies can reduce their exposure
Q68: Which of the following is considered to
Q74: Which of the following is an outcome
Q76: Although they are subject to reserve requirements,
Q76: As of August 2015,required reserve ratios in
Q77: Buffer reserves at DIs are
A)reserves in excess
Q78: Because investment banks typically buy and sell
Q78: Many states in the U.S.impose liquid asset
Q82: Managing the reserve position of a U.S.bank
Q86: For a DI in the U.S.with $200
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