Funds That Were "Swept" Out of Checkable Deposits and into Money

question 65

Multiple Choice

Funds that were "swept" out of checkable deposits and into money market deposit accounts (MMDAs)

• A)have caused the amount of required reserves held by banks and other depository institutions to increase dramatically in recent years.
• B)allow depository institutions to shift customers' funds out of accounts that are subject to reserve requirements and into highly liquid accounts that are not.
• C)have made it easier for the Fed to implement monetary policy.
• D)All of the above are correct.

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Definitions:

Deviation IQ

A method of calculating intelligence quotient where an individual's score is expressed as a deviation from the mean score of the age group.

IQ Tests

Uniform evaluations aimed at measuring the cognitive abilities and intelligence of humans.

Intellectual Disability

A term used to describe individuals who exhibit limitations in intellectual functioning and adaptive behavior, originating before the age of 18.

Profound

Having deep insight or understanding; penetrating beyond what is superficial or obvious.