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Which of the following can the Fed accomplish by raising or lowering the required reserve ratio?
Increase or decrease the money supply
What best explains why raising the required reserve ratio results in a decrease in the money supply?
When the required reserve ratio is high, must loan out a smaller portion of their reserves, resulting in fewer loans.
Why is raising the required reserve ratio results in a decrease in the money supply?
When the required reserve ratio is high, banks must loan out a smaller portion of their reserves, resulting in fewer loans.
What best explains why raising he required reserve ratio results in a decrease in the money supply?
Raising the required reserve ratio means that banks must hold a larger percentage of deposits as reserves and can lend out less money. This reduces the amount of money available for loans and, consequently, decreases the overall money supply in the economy. With fewer loans being issued, there is less money circulating, which can lead to tighter credit conditions and potentially slow down economic activity.
Would cause a decrease in the supply of money?
raising of interest rates
Which of the following can the Fed accomplish by raising or lowering the required reserve ratio?
Increase or decrease the money supply
What best explains why raising the required reserve ratio results in a decrease in the money supply?
When the required reserve ratio is high, must loan out a smaller portion of their reserves, resulting in fewer loans.
Why is raising the required reserve ratio results in a decrease in the money supply?
When the required reserve ratio is high, banks must loan out a smaller portion of their reserves, resulting in fewer loans.
What best explains why raising he required reserve ratio results in a decrease in the money supply?
Raising the required reserve ratio means that banks must hold a larger percentage of deposits as reserves and can lend out less money. This reduces the amount of money available for loans and, consequently, decreases the overall money supply in the economy. With fewer loans being issued, there is less money circulating, which can lead to tighter credit conditions and potentially slow down economic activity.
Does the molarity of a solution decrease on raising the temperature of the solution?
If you raise a solution temperature the molarity will decrease.
Would cause a decrease in the supply of money?
raising of interest rates
The following is not a duty of the judicial branch of government?
raising money.
What effects of increase does density do?
Density decrease when the temperature is raising.
Which of the following is not used by government to control the economy?
Raising an army
How can the Fed decrease the money supply?
The Federal Reserve can decrease the money supply by selling government securities, increasing the reserve requirements for banks, or raising the discount rate.
A decrease in net taxes will?
Raise aggregate expenditure by raising disposable income, thereby increasing consumption.
What would cause an increase in aggregate demand in the short run?
if decrease a price or if the expectation of raising a price
