If,after a Deposit Outflow,a Bank Needs an Additional $3 Million

question 102

Multiple Choice

If,after a deposit outflow,a bank needs an additional $3 million to meet its reserve requirements,the bank can

• A) reduce deposits by $3 million.
• B) increase loans by $3 million.
• C) sell $3 million of securities.
• D) repay its discount loans from the Fed.

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Definitions:

New Negro Artist

Relates to African-American creatives associated with the Harlem Renaissance, embodying a renewed racial pride and cultural identity during the early 20th century.

West Coast

Refers to the westernmost coastal states of the United States, typically including California, Oregon, and Washington.

Harlem on My Mind

Refers to the cultural and social flourishing of African American arts and life in Harlem, New York, particularly during the Harlem Renaissance.

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Refers to the everyday lives and experiences of African American individuals who are not prominently known in history or public life but are essential to understanding the broader narratives of black existence.