Business, 20.12.2019 20:31 ligittiger12806

Suppose the reserve requirement is initially set at 10%. instructions: in parts a, b, and d, enter your answers as a whole number. in part c, round your answer to two decimal places.

a. at a reserve requirement of 10%, what is the value of the money multiplier? 10
b. if the reserve requirement is 10% and the fed increases reserves by $20 billion, what is the total increase in the money supply? $ 200 billion
c. suppose the fed raises the reserve requirement to 16%. what is the value of the money multiplier now? 6.25
d. assume the reserve requirement is 16%. if the fed increases reserves by $20 billion, what is the total increase in the money supply? $ 125 billion
e. raising the reserve requirement from 10% to 16% the money multiplier and the money supply.

Answers: 3

Show answers

Other questions on the subject: Business

Business, 21.06.2019 19:20, BluSeaa

In 2007, americans smoked 19.2 billion packs of cigarettes. they paid an average retail price of $4.50 per pack. a. given that the elasticity of supply is 0.50.5 and the elasticity of demand is negative 0.4−0.4, derive linear demand and supply curves for cigarettes. the demand equation is qdequals=nothingplus+nothing times ×p and the supply equation is qsequals=nothingplus+nothing times ×p.

Answers: 2

continue

Business, 21.06.2019 20:30, lilly198o

Which of the following best describes how the federal reserve bank banks during a bank run? a. the federal reserve bank has the power to take over a private bank if customers demand too many withdrawals. b. the federal reserve bank can provide a short-term loan to banks to prevent them from running out of money. c. the federal reserve bank regulates exchanges to prevent the demand for withdrawals from rising above the required reserve ratio. d. the federal reserve bank acts as an insurance company that pays customers if their bank fails. 2b2t

Answers: 3

continue

Business, 22.06.2019 11:30, laylay120

You've arrived at the pecan shellers conference—your first networking opportunity. naturally, you're feeling nervous, but to avoid seeming insecure or uncertain, you've decided to a. speak a little louder than you would normally. b. talk on your cell phone as you walk around. c. hold an empowered image of yourself in your mind. d. square your shoulders before entering the room.

Answers: 2

continue

Business, 22.06.2019 16:10, boogerbuttday

Omnidata uses the annualized income method to determine its quarterly federal income tax payments. it had $100,000, $50,000, and $90,000 of taxable income for the first, second, and third quarters, respectively ($240,000 in total through the first three quarters). what is omnidata's annual estimated taxable income for purposes of calculating the third quarter estimated payment?

Answers: 1

continue

You know the right answer?

Suppose the reserve requirement is initially set at 10%. instructions: in parts a, b, and d, enter...