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Related Questions
Decreasing the reserve requirement will?
will discourage aggregate demand.
What is the purpose the reserve requirement?
It protects public deposits.
How can the reserve requirement for banks be used to slow the economys growth?
Increasing the reserve requirement for banks will make less money available to borrowers and thus slow the economy's growth.
Why did the Members banks must leave this with the Fed?
Reserve requirement
What is a result of high reserve requirement?
Less money in the economy.
In reference to federal reserve policy what are reserve requirement?
the percentage of a bank's total deposits that must be kept in its possession
What term indicates the percentage of a banks total deposit that must be kept in its own vaults?
reserve ratio
What is the relationship between the monetary multiplier and reserve ratios?
Money Multiplier is inverse of Reserve Requirement. That is, m = 1/R
What term indicates the percentage of banks total deposit that must be kept in its own vaults?
reserve ratio
What is the current reserve requirement of bangko sentral ng pilipinas?
19%
What are the funds that banks use to satisfy the reserve requirement?
excess reserves
Are funds that the bank uses to satisfy the reserve requirement?
excess reserves
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