During a Bank Run,depositors Decide to Hold More Currency Relative

question 18

Multiple Choice

During a bank run,depositors decide to hold more currency relative to deposits and banks decide to hold more excess reserves relative to deposits.

• A)Both the decision to hold relatively more currency and the decision to hold relatively more excess reserves would make the money supply increase.
• B)Both the decision to hold relatively more currency and the decision to hold relatively more excess reserves would make the money supply decrease.
• C)The decision to hold relatively more currency would make the money supply increase.The decision to hold relatively more excess reserves would make the money supply decrease.
• D)The decision to hold relatively more currency would make the money supply increase.The decision to hold relatively more excess reserves would make the money supply decrease

Understand the concept and calculation of margin of error in the context of polls and surveys.

Comprehend the process and significance of constructing confidence intervals for population proportions.

Interpret what confidence levels represent and how they affect confidence intervals.

Differentiate between various kinds of confidence intervals based on the data and context presented.

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Definitions:

Plant Manager

An individual responsible for overseeing the operations, management, and success of a manufacturing or production facility.

Task Strategy

The plan or approach adopted to accomplish a specific task or objective effectively.

Direction of Attention

The focus or concentration of mental effort on a particular object, task, or activity.

Persistence

A personal quality that reflects the ability to continue steadfastly or firmly in some action or path, despite difficulties or opposition.