The Graphical Effect Caused When a Shape Seems to Resize

question 26

True/False

The graphical effect caused when a shape seems to resize as the mouse is dragged is known as rubberbanding.

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Definitions:

Monetary Multiplier

The ratio of the change in the money supply to the change in reserves, indicating the potential increase in money supply through the banking system.

Legal Reserve Ratio

The minimum fraction of customer deposits and notes that each commercial bank must hold as reserves rather than lend out, often set by central banks.

Reserve Requirement

A regulation that sets the minimum reserves each bank must hold to customer deposits and notes, intended to ensure bank liquidity and financial stability.

Excess Reserves

Funds held by banks over and above the legally mandated requirements to back deposits.