A Lowering of the Required Reserve Ratio Might Not Expand

question 88

Multiple Choice

A lowering of the required reserve ratio might not expand the money supply if:

• A) tax rates are also lowered at the same time.
• B) tax rates are increased at the same time.
• C) borrowers are unwilling to borrow the new funds the banks have available for loans.
• D) borrowers are willing to borrow the new funds the banks have available for loans..
• E) borrowers expand their borrowing because of the lower interest rates that banks offer.

---

Definitions:

Narcissism

A personality trait characterized by an inflated sense of self-importance, a deep need for excessive attention and admiration, and a lack of empathy for others.

Hostility Toward Women

Negative attitudes and feelings of anger, aggression, or resentment towards women, often rooted in sexism or misogyny.

Sexual Orientation

Describes an individual's pattern of emotional, romantic, or sexual attraction to others, based on their gender.

Nonconformity

The refusal to align with established customs, attitudes, or ideas, often leading to cultural or social change.