The Fed Increases Bank Reserves in the System by $75

question 7

Multiple Choice

The Fed increases bank reserves in the system by $75 million. If there are no drains,the expected change in bank deposits is

• A)$82.5 million.
• B)$945 million.
• C)$750 million.
• D)$1,500 million.
• E)$655 million.

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Definitions:

Bisj Pole

A Bisj Pole is a ritual sculpture created by the Asmat people of New Guinea, typically carved from wood and decorated with symbolic carvings, intended to honor and appease the spirits of ancestors.

Asmat Society

An ethnic group in Papua, Indonesia, known for their intricate wood carvings and significant cultural practices related to ancestry and the spiritual world.

Social Hierarchy

A system of ranking or classifying individuals within a society based on various factors such as wealth, occupation, or familial status, often determining access to resources and power.

Polynesia

A subregion of Oceania, composed of over 1,000 islands scattered over the central and southern Pacific Ocean, characterized by a shared cultural heritage.