On a Logical Data Flow Diagram, Data Flows

question 63

Multiple Choice

On a logical data flow diagram, data flows:

• A)always go from a higher-numbered to a lower-numbered bubble
• B)never go from a higher-numbered to a lower-numbered bubble
• C)can go in either direction as needed
• D)must go from a bubble to a box

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Definitions:

Tight Monetary Policy

A central bank strategy aiming to slow economic growth by increasing interest rates and reducing the quantity of money in circulation.

Net Exports

The value of a country's total exports minus the value of its total imports, representing the trade balance.

Legal Reserve Requirement

A regulation set by central banks determining the minimum amount of reserves that must be held by a financial institution, usually a percentage of deposits.

Federal Funds Rate

The interest rate at which depository institutions trade federal funds (balances held at Federal Reserve Banks) with each other overnight.