46. If the required reserve ratio is 10% and $100,000 of money is deposited into
ID: 1206119 • Letter: 4
Question
46. If the required reserve ratio is 10% and $100,000 of money is deposited into the system (money from circulation) by household. The maximum change to the money supply is?
47. The best corrective measure, used by the federal reserve to cure inflation is?
48. In the classical view the economy will achieve full-employment in the long-run
49. Suppose the MPC is .8 what is the multiplier:
50. According to most economists, the price level and real GDP will depend on the level of,
$90,000 $900,000 $100,000 $10,000 $190,000Explanation / Answer
46. $90,000
47. Sell bonds to the public in an open market operation
48. True
49. 5
50. Money supply and total income
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