Assume That the Reserve-Deposit Ratio Is 0

question 33

Multiple Choice

Assume that the reserve-deposit ratio is 0.4.The Federal Reserve carries out open-market operations,purchasing $1,000,000 worth of bonds from banks.This action increased the money supply by $1,750,000.What is the reserve-deposit ratio?

• A)0)2
• B)0)3
• C)0)4
• D)0)5

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Definitions:

Ayurvedic Medicine

Ayurvedic Medicine is a traditional system of medicine from India, focusing on balancing bodily systems using diet, herbal treatment, and yogic breathing.

Traditional Healing

A practice that includes the use of herbal medicines, spiritual therapies, and ancient medical techniques to treat various ailments, often based on cultural traditions.

India

A country in South Asia, known for its diverse culture, history, and as the world's second-most populous nation.

Medical System

The organized structure of healthcare facilities, professionals, policies, and procedures intended to provide healthcare services to a population.