When required reserves exceed actual reserves, commercial banks will be forced to have borrowers:
A) Use credit cards
B) Withdraw some of their deposits
C) Repay loans
D) Take out more loans

Question

Quizplus · Accepted Answer

When required reserves exceed actual reserves, banks need to increase their reserves. One way to do this is by having borrowers repay loans, which reduces the bank's liabilities and increases its reserves.

When Required Reserves Exceed Actual Reserves, Commercial Banks Will Be