The Fraction of a Bank's Total Deposits That Are Held

question 13

Multiple Choice

The fraction of a bank's total deposits that are held in reserves is called the

• A)desired reserve ratio.
• B)discount rate.
• C)money multiplier.
• D)deposit multiplier.

---

Definitions:

Reflect Effects

The impact or consequences of a particular event, action, or decision that need to be considered or analyzed.

Estimators

Statistical methods or formulas that provide point or interval estimates for unknown population parameters based on sampling data.

Null Hypothesis

In statistical testing, the hypothesis that there is no effect or no difference, and any observed variations are due to chance.

Level Of Significance

The threshold below which a p-value must fall for an effect to be considered statistically significant, indicating the extent to which a test rejects the null hypothesis.