almalizcuello2936 almalizcuello2936
  • 03-07-2021
  • Business
contestada

The Fed can manipulate the reserve ratio in order to influence the ability of commercial banks to do what

Respuesta :

ewomazinoade ewomazinoade
  • 06-07-2021

Answer:

loan out money

Explanation:

Reserve ratio is the percentage of deposits that is required of commercial banks to keep as reserves. The lower the ratio, the higher the increase in money supply

If the required reserve ratio is 10% and $100 is deposited, reserves would be $10 and $90 would be lent out

Answer Link

Otras preguntas

Which term describes the idea that the political power in a country comes from the will of the citizens rather than a kings wishes or god
What are the five leading causes of death on texas roadways?
Find the length of the roof. Round to the nearest hundredth of a foot
Which is true 0.0093>0.01
At dee dee's dinette the probability that a customer orders coffee is 0.60, the probability that a customer orders pie is 0.35, and the probability that a custo
Usually the flood season produced a “good Nile,” just the right amount of water. What might be the consequence of a “bad Nile” – too much or too little water?
What value is added to both sides of the equation x2 − 2x = 10 in order to solve by completing the square
Of mice and men major conflicts and obstacles?
Your travel agency client is running a very targeted campaign to reach people who are visiting paris on vacation and don't live in france. what would be an effe
A car accelerates from 10.0 m/s to 30.0 m/s at a rate of 3.00 m/s2. how far does the car travel while accelerating?