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Suppose a Person Cashes His Payroll Check and Holds All

question 147

Multiple Choice

Suppose a person cashes his payroll check and holds all the funds in the form of currency. Everything else held constant,total reserves in the banking system ________ and the monetary base ________.


Definitions:

Talents

Describes individuals' natural aptitudes or skills in particular areas, such as art, sports, or intellectual achievements.

Fixed Mindset

A psychological theory describing individuals who believe their talents and abilities are fixed traits that cannot be developed.

Effort

The exertion of physical or mental energy toward the accomplishment of a task.

Sensitive

Having the capacity to perceive and respond to changes or stimuli; can also refer to an individual's susceptibility to emotional influences.

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