Which of the Following Will Limit the Expansion of the Money

question 446

Multiple Choice

Which of the following will limit the expansion of the money supply following a new deposit?

• A) Failure of banks to voluntarily hold excess reserves
• B) A strong demand for new loans
• C) A re-depositing of all loan proceeds
• D) A strong demand for holding currency outside of commercial banks

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Definitions:

Cognitions

Mental actions or processes of acquiring knowledge and understanding through thought, experience, and the senses.

Unified Protocol

A transdiagnostic cognitive-behavioral therapy approach designed to address a range of emotional disorders by targeting common underlying factors.

Emotional Experience

The complex array of feelings, sensations, and perceptions within an individual related to emotions and their expression.

Emotion-Laden Cognitions

Thoughts and memories that are charged with emotional significance, often influencing behavior and decision-making.