How Much Can the Banking System Increase Deposits, Given a Required

question 88

Multiple Choice

How much can the banking system increase deposits, given a required reserve ratio of 100 percent, an initial injection of $1,000 worth of reserves, and no excess reserve or currency drain?

• A)$1,000
• B)$5,000
• C)$10,000
• D)$20,000

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Definitions:

Stage 4 Sleep

Stage 4 sleep, now classified within N3 sleep in the modern sleep staging systems, is characterized by deep, restorative sleep and the presence of delta waves in brain activity.

Non-REM Sleep

A type of sleep that is divided into three stages, characterized by slow brain waves and reduced metabolic activity, distinct from REM (Rapid Eye Movement) sleep.

Sleepwalking

A disorder that causes people to get up and walk around while in a state of sleep.

Night Terrors

A sleep disorder causing feelings of terror or dread, and typically occurs during the first hours of stage 3-4 non-REM sleep; differs from nightmares.