If You Deposit $100 of Currency into a Demand Deposit

question 119

Multiple Choice

If you deposit $100 of currency into a demand deposit at a bank, this action by itself

• A) does not change the money supply.
• B) increases the money supply.
• C) decreases the money supply.
• D) has an indeterminate effect on the money supply.

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Definitions:

Null Hypotheses

A statement suggesting that there is no significant effect or difference, and any observed deviation is due to chance.

Alternative Hypotheses

In statistical testing, these are hypotheses that suggest there is a difference or effect, in contrast to the null hypothesis, which suggests there is no effect.

Sinus Drug

Medication intended to treat sinus conditions, often focusing on reducing inflammation, congestion, or infection within the sinus cavities.

Significance Level

The threshold chosen by the researcher for rejecting the null hypothesis; often denoted by alpha (α) and used in hypothesis testing.