The Percentage of Deposits That Must Be Held as Reserves

question 57

Multiple Choice

The percentage of deposits that must be held as reserves is called

• A) the bank reserve percentage
• B) the required reserve ratio
• C) the excess reserve ratio
• D) the fractional reserve percentage

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Definitions:

Atrophy

The decrease in size or wasting away of a body part or tissue, often due to disease, injury, or lack of use.

Posterior Pituitary

The back part of the pituitary gland that releases hormones, such as oxytocin and vasopressin, directly into the bloodstream.

Anterior Pituitary

The front part of the pituitary gland that produces and releases hormones into the bloodstream which regulate various physiological processes.

Hypothalamus

A region of the brain below the thalamus, responsible for regulating various bodily functions including temperature, hunger, thirst, and emotional activity.