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If the reserve rate were lowered, banks would be required to hold less money in reserve and could lend more to businesses and consumers. This increase in lending could stimulate economic activity by encouraging spending and investment. However, it could also lead to higher inflation if too much money enters the economy too quickly. Additionally, lower reserve requirements may increase the risk of bank failures if borrowers default on their loans.
What else can I help you with?
Which would most likely happen if all of the soil in an ecosystem washed away?
.
What if bacteria lost the ability to fix nitrogen?
Everybody would die. However, this is not likely to happen.
What would most likely happen to a unicellular organism if it was exposed to a hypotonic solution for an extended period of time?
The organism would swell and then burst.
What would most likely happen to the action potential, if a neuron lost its myelin sheath?
The actional potential would not reach the axon terminals.
What happen if kinetic energy of gas is lowered?
the pressure decreases D:
What would most likely happen if the federal reserve system lowered interest rates?
Unemployment would be reduced in the short run.
What would most likely if the federal reserve system lowered interest rate?
Unemployment would be reduced in the short run.
What would most likely happen if the federal reserve decided to increase the reserve requirements in banks?
If the Federal Reserve decided to increase the reserve requirement in banks, it is likely that banks would be targeted more often for robbery. This would be because there would be more money in every federally-insured bank.
Would the money supply increase or decrease if the required reserve ratio was lowered from 20 percent to 10 percent?
That would be decrease
If you join the army reserve would you have to go to war?
Yea u would most likely die to,, they put all the reserve on the frontlines
What would happen if the U.S. Federal Reserve Bank were to increase the legal reserve ratio?
You would expect higer interest rates, a contracted GDP and depreciation of the dollar
What would happen if fuel runs out on a plane?
I am pretty sure they have a reserve fuel tank.
When would elephants most likely leave the reserve?
Mostly the dept of 1000 meters
What would happen to the width of the confidence interval if the level of confidence is lowered from 95 percent to 90 percent?
decrease
What would likely happen if i don't eat before working out?
You would likely pass out.
Why should the driving age be lowered?
Lowering the Driving AgeSome believe it should be lowered to 14 and 8 months to get your license and that you should be able to determine when to take drivers training. Others even believe the driving age should be lowered to age 11. Views about this are likely divided by age. Those who would benefit from a lower driving age are likely to believe it should be lowered, but those who already have their license are likely to disagree.
What would happen most likely happen if the number of shrimp increased?
the plankton population would decrease
