The Size of the Effect of a Given Deposit of Cash

question 120

Multiple Choice

The size of the effect of a given deposit of cash into a demand deposit account on the money supply is smaller:

• A)​the greater the fraction of money people want to hold as currency and the greater the fraction of deposits banks want to hold as excess reserves.
• B)​the greater the fraction of money people want to hold as currency and the smaller the fraction of deposits banks want to hold as excess reserves.
• C)​the smaller the fraction of money people want to hold as currency and the greater the fraction of deposits banks want to hold as excess reserves.
• D)​the smaller the fraction of money people want to hold as currency and the smaller the fraction of deposits banks want to hold as excess reserves.

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Definitions:

Interracial Intimate Relationships

Romantic relationships between individuals of different racial or ethnic backgrounds.

Racial Perspectives

Diverse viewpoints and interpretations related to race and ethnicity, influenced by cultural, social, and personal experiences.

"Post-racial" Vanguards

Advocates or leaders who claim or aim to transcend racial categorizations and divisions in society, often in a context suggesting the end of racism.

Pupil Spending

The amount of funding allocated per student within educational institutions, often discussed in the context of assessing educational quality and equity.