An Open Market Purchase of Securities by the Central Bank

question 98

Multiple Choice

An open market purchase of securities by the central bank from banks usually will:

• A) increase the banks' revenue even if the bank does nothing with the reserves.
• B) induce the banks to make more loans since their revenue will decrease if they do nothing.
• C) decrease the amount of deposits in the banking system.
• D) decrease the banks' willingness and ability to make loans.

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Definitions:

Masculinity

A set of attributes, behaviors, and roles associated with boys and men as socialized in a given society.

Femininity

A set of attributes, behaviors, and roles generally associated with girls and women by society, though its interpretation can vary widely.

Naturalistic Observation

A research method in which subjects are observed in their natural environment without any manipulation by the observer.

Real-life Settings

Environments or situations that occur in the natural course of an individual's life, as opposed to controlled experimental conditions.