The Multiple by Which the Chartered Banking System Can Expand

question 61

Multiple Choice

The multiple by which the chartered banking system can expand the supply of money on the basis of excess reserves:

• A)is larger the smaller the desired reserve ratio.
• B)is the reciprocal of the bank's actual reserves.
• C)is directly or positively related to the size of the desired reserve ratio.
• D)will be zero when the desired reserve ratio is 50 percent.

---

Definitions:

Maintenance of Order

The actions and strategies employed by societal institutions to preserve social norms and ensure the smooth functioning of society without disruption.

Subordinate Others

Individuals or groups that are placed or positioned below others in terms of power, status, or authority within a social hierarchy or system.

Race and Class Stratification

The hierarchical organization of society based on racial and socioeconomic status, affecting individuals' opportunities, resources, and social mobility.

Sexual Behavior

Any behavior that involves sexual activity or expresses human sexuality, including sexual preferences, practices, and orientation.