In the Simple Deposit Expansion Model,if the Fed Extends a $100

question 196

Multiple Choice

In the simple deposit expansion model,if the Fed extends a $100 discount loan to a bank that previously had no excess reserves,deposits in the banking system can potentially increase by

• A)$10.
• B)$100.
• C)$100 times the reciprocal of the required reserve ratio.
• D)$100 times the required reserve ratio.

---

Definitions:

Suicide Prevention Centers

Organizations or facilities that provide resources, support, and counseling to individuals struggling with suicidal thoughts and behaviors, aiming to prevent suicide.

Suicide

is the act of intentionally causing one's own death, often resulting from factors such as psychological disorders, traumatic stress, or significant life challenges.

Direct Questions

Questions that are explicit in their inquiry, expecting specific information as an answer.

Seasonal Affective Disorder

A type of depression that occurs at a certain time of the year, usually in the winter, when there is less natural sunlight.