Reserve Requirements Are the

question 83

Multiple Choice

Reserve requirements are the

• A) minimum percentages of deposits that banks must hold as reserves.
• B) minimum amount of an owner's financial resources that must be placed in a depository institution.
• C) rules covering the types of deposits that banks may offer.
• D) rules covering the types of assets that banks may purchase.

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Definitions:

Pleasure Principle

A concept in psychoanalytic theory suggesting that individuals seek pleasure and avoid pain in order to satisfy biological and psychological needs.

Reality Principle

A concept in psychoanalytic theory referring to the ability of the mind to assess the external world and act upon it accordingly, often in contrast to the pleasure principle.

Ego

In psychoanalytic theory, the part of the personality that mediates between the desires of the id and the constraints of the real world.

Superego

In psychoanalytic theory, the part of a person's mind that acts as a self-critical conscience, reflecting social standards learned from parents and others.