Examlex
As the relative demand for unskilled workers falls, wages for unskilled workers ______ and unemployment compensation becomes a ______ attractive option.
Open Market Purchases
Actions by a central bank to buy securities in the open market to increase the money supply and lower interest rates, aiming to stimulate economic activity.
Reserve Requirement
The minimum amount of reserves a bank is mandated to hold by central banking authorities, akin to the reserve ratio.
Reserve Ratio
A central bank regulation that sets the minimum fraction of customer deposits and notes that each commercial bank must hold as reserves rather than lending out.
Reserve Requirement
The portion of depositor's balances that banks must have on hand as cash or in deposits with the central bank, a tool used by central banks to control the money supply.
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