Ask your own question, for FREE!
Finance 18 Online
OpenStudy (anonymous):

4-7 It has been determined that, in aggregate, financial institutions with depository accounts currently hold excess reserves equal to $3 billion—that is, they hold $3 billion more than is necessary to meet the reserve requirments associated with existing deposits. The reserve requirment applicable to all deposits is 15 percent. Assume that changes in reserves held by financial institutions affect deposits only ( that is, amount lent out are always redeposited in the financial institutions.) a. All else being equal, what would be the effect on deposits if financial institutions immediately

Can't find your answer? Make a FREE account and ask your own questions, OR help others and earn volunteer hours!

Join our real-time social learning platform and learn together with your friends!
Latest Questions
AsianPanda08: What should i eat for dinner tonight? I can't choose
1 hour ago 51 Replies 2 Medals
Nina001: Trying 2 figure out what is the square root of 8746685
1 hour ago 23 Replies 2 Medals
SnowyBreaks: Is it bad to lose 3.8 pounds in less than 2 days?
19 minutes ago 43 Replies 0 Medals
kaelynw: tried a lil smt, the arm is off but i like the other stuff
1 minute ago 10 Replies 2 Medals
laylasnii13: Who wanna write or make a song with me???
4 hours ago 8 Replies 0 Medals
kaelynw: art igg
12 hours ago 13 Replies 2 Medals
XShawtyX: Art
1 day ago 6 Replies 0 Medals
Can't find your answer? Make a FREE account and ask your own questions, OR help others and earn volunteer hours!

Join our real-time social learning platform and learn together with your friends!