Question: Excess reserves in the banking system will increase if (A) the reserve ratio is increased. (B) the checking deposits increase. (C) the discount rate is

Excess reserves in the banking system will increase if

(A) the reserve ratio is increased.

(B) the checking deposits increase.

(C) the discount rate is increased.

(D) the Fed sells Treasury securities to commercial banks.

(E) income tax rates increase.

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