Increasing the Reserve Requirement Ratio Is

question 65

Multiple Choice

Increasing the reserve requirement ratio is

• A) a contractionary policy because it lowers the amount of total reserves in the banking system.
• B) a contractionary policy because it lowers the amount of excess reserves in the banking system.
• C) an expansionary policy because it raises the amount of excess reserves in the banking system.
• D) an expansionary policy because it raises the amount of required reserves in the banking system.

---

Definitions:

Alleles

Various forms of the same gene, arising by mutation and are found at the same place on a chromosome, responsible for variation in inherited characteristics.

Offspring

The product of reproduction, a new organism produced by one or more parents.

Meiosis

A process of cell division in sexually reproducing organisms that reduces the number of chromosomes in reproductive cells to half, leading to the production of gametes or spores.

Parental Chromosome Number

The parental chromosome number refers to the specific number of chromosomes found in the genetic material an organism inherits from its parents, typically half from each.