Examlex
Name and define three kinds of focusing problems.
Simple Money Multiplier
A formula that estimates the maximum amount of money that banking can generate with each dollar of reserves.
Required Reserve Ratio
The fraction of deposits that banks are required by law to keep on hand or with the central bank, rather than lend out.
Money-Creation Process
The mechanisms through which new money is produced and introduced into the economy, primarily conducted by central banks and commercial banks.
Government Securities
Financial instruments issued by the government to finance its expenditures, including bonds, bills, and notes.
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