For a Small Bank in a Large Banking System,excess Reserves

question 142

Multiple Choice

For a small bank in a large banking system,excess reserves are equal to the

• A)Amount of money that the U.S.Treasury makes available for loans.
• B)The amount of reserves that a bank must hold equal to the loans that it makes.
• C)The amount of loans a bank can make after meeting the reserve requirement.
• D)The difference between transactions account balances and loans.

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Definitions:

Sympathomimetic Agents

Drugs that mimic the effects of the sympathetic nervous system, like increasing heart rate and blood pressure.

Adrenergic Receptors

Proteins located on cell surfaces that respond to adrenaline and noradrenaline, playing a key role in the fight-or-flight response.

Nicotinic Receptors

A type of acetylcholine receptor that is stimulated by nicotine and found at neuromuscular junctions.

Adrenal Medulla

The core section of the adrenal gland responsible for generating adrenaline and noradrenaline, which are essential hormones for reacting to stress.