If the Banking System Has a Large Amount of Reserves,many

question 121

Multiple Choice

If the banking system has a large amount of reserves,many banks will have excess reserves to lend and the federal funds rate will probably ________;if the level of reserves is low,few banks will have excess reserves to lend and the federal funds rate will probably ________.

• A)fall;fall
• B)fall;rise
• C)rise;fall
• D)rise;rise

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Definitions:

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The process of gradually writing off the initial cost of a patent over its useful life, reflecting its consumption or expiration.