Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Banks are currently required to hold at least 10% of their checking deposits as reserves.
a. Many bankers would prefer that the required reserve ratio be lowered to 0% (as in Canada and England, where there are no reserve requirements). Explain why this would tend to make the banks more profitable.
b. In the 1960s the federal funds market (i.e., the overnight interbank loan market) became very well developed, and banks began to hold fewer excess reserves. Explain why a well-developed federal funds market would induce banks to hold fewer excess reserves.
c. In 2008 the Fed began paying interest on banks’ reserves. Explain how the new policy might have induced banks to hold more excess reserves (as in fact they did).
Suppose that you can schedule a worker for up to 10 hours per day. The total benefit and total cost functions are B(H) = 1200 × √H and C(H) = 200H. The corresponding formulas for marginal benefit and marginal cost are MB(H) = 600/√H and MC(H) = 200. ..
EXPLAIN IF POSSIBLE. What is happening to the US trade balance in each of the following situations? Explain.
For every $100 in assets, a bank has $40 in interest-rate sensitive assets, and the other $60 in non-interest-rate sensitive assets. The same bank has $50 for every $100 in liabilities in interest-rate sensitive liabilities, the other $50 are in liab..
Explain with graph what happens to aggregate demand curve, and/or aggregate supply curve for the following situations: Consumers expect the price of the good to rise in the future.
Total unemployment compensation increases during recessions with no change in benefit rates.
Find the value of the test statistic (to 3 dec pl). Can we conclude that the proportions have changed during the year.
Suppose economists observe that an increase in government spending of $10 billion raises the total demand for goods and services by $30 billion. If these economists ignore the possibility of crowding out, they would estimate the marginal propensity t..
A legal change is proposed to extend patents from 20 years to 23 years. If passed, this will affect future patents as well as patents granted earlier (i.e. it is retroactive). If a company has just patented its invention the day before the legal chan..
Assume that a country with a fixed exchange reate has an import of 100 per month and an export of 100 per month. Suddenly and unexpectedly the exchange rate is devaluated with 10 percent. Calculate the change on net export due to the devaluation if w..
At the equilibrium point in the above graph, which of the following is false?
A money market mutual fund ______. Federal Reserve Notes. Early in the US history, tobacco and cotton were used as forms of money know as "country pay". when used, these forms of currency:
A cable company spends on average $600 to acquire a customer. Annual maintenance costs per customer is $45; record-keeping and billing costs are $30 per customer per annum. Price of the basic service package is $30 per month. Typically, 40 percent of..
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd