The Required Reserve Ratio Is Which of the Following

question 71

Multiple Choice

The required reserve ratio is which of the following?

• A)the amount of money recommended by financial experts to have for emergencies
• B)the amount of money the United Nations requires countries to have to meet foreign exchange demands
• C)the percentage of outstanding checkable deposits that an intermediary is required to have in vault cash or deposited at the Fed
• D)the minimum amount of money needed to buy a Treasury bill

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Definitions:

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The maximum amount a buyer is willing to pay for a good or service, beyond which they will not make the purchase.

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A mathematical representation that describes how different bundles of goods or states of the world yield different levels of satisfaction or utility to an individual.

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