Suppose That the Fed Undertakes an Open Market Sale,selling $1

question 102

Multiple Choice

Suppose that the Fed undertakes an open market sale,selling $1 million worth of securities to a bank.If the required reserve ratio is 8%,checkable deposits (or the money supply) ,would _______________ by ________________ million,assuming that there are no cash leakages and that banks hold zero excess reserves.

• A) rise; $12.5
• B) decline; $8
• C) decline; $12.5
• D) rise; $8

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Definitions:

Television Culture

The influences and impacts of television as a medium on society's values, norms, and daily practices, inclusive of the content and its consumption customs.

Mean World Syndrome

Mean World Syndrome is a phenomenon where excessive exposure to violent media content leads people to perceive the world as more dangerous than it actually is.

Heavy Viewers

Heavy viewers are individuals who spend a significantly larger amount of time watching television or consuming media content compared to the average person.

Mediatization

The process by which society becomes increasingly influenced by the media and its various forms, leading to changes in culture, politics, and social interactions.