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Sammy Beahan

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What is fractional reserve banking

Fractional-reserve banking is what keeps the banks running. They must keep a certain amount of money in reserve (usually in the form of a deposit with the central bank), so that people can withdrawal their deposits.

What will be a good sentence for the bartering

my mom once was bartering at stripendales

The consumer price index is a measure of

inflation

How do you get the hours for the guard on Counterfeit Island

Find the guard in the Clown Store and talk to him. He will give you his time card. Then go back to the security office in the museum.

The us government borrows money by

Issuing Treasury Bonds and other government-backed securities

The three tools the Federal Reserve uses to enact monetary policy are

the three tools the Federal Reserve uses to enact monetary policy are setting the interest rate charged to commercial banks on loans from the Federal Reserve. Setting the reserve rate. The buying and selling of Treasury bonds and other government-backed securities

What will be the effect on the interest rate the bank charges its customers for a loan if the bank buys a Treasury Bond from the Federal Reserve

The interest rate will increase since there are fewer available funds for the bank to loan.

Consecutive periods of deflation are also known as

recessions

If there is an increase in the money supply that causes money to lose its purchasing power and prices to rise

It loses purchasing power.

Which of these conditions must have existed during the second four-year period

Deflation

Which of the ranges below correspond to a recession

the correct answer for apex is 1937-1939.

Approximately how much would the house have cost in 1980 when the CPI was 82.4

$62,200

Let r equals 07 br the reserve rate which of the following is mant multiplier

1

------

0.07

In 1971 the US dollar became part of a total fiat system meaning what

It could no longer be converted into gold.

During a period of deflation the graph of the consumer price index CPI will fall

True

What of the following is not an optional deduction if I see a health insurance

What of the following is not an optional deduction?

A. Health insurance

B. 401(k)

C. Medicare

D. Life insurance

If there is an increase in the money supply that causes money to lose its purchasing power and leads to inflation what happens to prices

they rise

If the federal reserve sets the reserve rate to 4 what is the resulting money multiplier

it is 25 apex

If the reserve rate is 7 and a bank receives a deposit of 9000 how much of the 9000 is the bank free to lend

$8370

If the federal reserve sells 50000 in Treasury bonds to bank at 6 interest what is the immediate effect on the money supply

it is decreased by 50000

what is the ________ of the united states is the federal reserve.

central bank.

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