Suppose Checking Deposits Increase by $6,000 After All Rounds of the Money-Creation

question 84

Multiple Choice

Suppose checking deposits increase by $6,000 after all rounds of the money-creation process when the Fed buys $1,200 worth of U.S. government securities. This implies that the maximum value of the required reserve ratio would be _____

• A) 5.
• B) 0.75.
• C) 0.2.
• D) 1.2.
• E) 1.0.

Know the standards for text height in SAE and metric drawings.

Associate specific scale representations with their respective scales (e.g., quarter scale).

Understand the flexibility and constraints in text sizing for notes or items in drawings.

Distinguish between reduced and enlarged scales.

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Definitions:

Expectancies

Beliefs about the potential outcomes of certain behaviors, which can influence an individual's decisions and actions.

Cognitive Factors

Elements that affect the processes of thinking, understanding, learning, and remembering.

Tension

A state of mental or emotional strain, often resulting from challenging or demanding circumstances.

Stimulus-Response Units

In behavioral psychology, these are the basic elements of behavior, indicating a direct, observable link between a stimulus and a response it triggers.