When a Member of the Nonbank Public Deposits Currency into Her

question 44

Multiple Choice

When a member of the nonbank public deposits currency into her bank account,

• A) both the monetary base and bank reserves fall.
• B) both the monetary base and bank reserves rise.
• C) the monetary base falls, but bank reserves remain unchanged.
• D) bank reserves rise, but the monetary base remains unchanged.

---

Definitions:

Prefrontal Lobotomy

A surgical procedure used in the past to treat certain mental disorders, involving the removal or severing of connections to the prefrontal cortex.

Mendel

Gregor Mendel, an Augustinian monk and scientist, is known as the father of genetics for his work on pea plant inheritance.

Genes

Units of heredity made up of DNA that determine specific traits by encoding proteins.

Endocrine Glands

Glands of the endocrine system that secrete hormones directly into the bloodstream to regulate body processes.