Bank Reserves Are

question 118

Multiple Choice

Bank reserves are

• A) currency and customer chequing deposits.
• B) currency and customer chequing and savings deposits.
• C) any asset used to purchase goods and services.
• D) financial assets obtained from savers and lent to borrowers.
• E) cash and similar assets held to meet depositor withdrawals or payments.

---

Definitions:

Least Cost

Refers to the most cost-effective method of producing a given level of output without sacrificing quality.

Horizontal Market

A market that meets a specific need across multiple industries, rather than being confined to a particular sector.

Natural Monopoly

A type of monopoly that arises due to high fixed or start-up costs associated with the business, making it efficient for only one provider to serve the entire market.

Antitrust Law

Laws designed to promote competition and prevent monopolies by regulating corporate practices that restrict trade.