Change in deposit requirements will change

A multiple-choice question with several possible answers.(Required)

1. Interest rate
2. Deposit multiplier
3. Money multiplier
4. Mix of required and excess reserves

Compared to purchases from non-bank institutions, excess reserves will be increased more when the Fed purchases U.S. securities from bank institutions.

A question requiring a 'True/False' answer.(Required)

TrueFalse

The total quantity of reserves available to the banking system can be changed directly by central bank open-market operations.

A question requiring a 'True/False' answer.(Required)

TrueFalse

A straight or outright open-market transaction by the Fed produces a permanent change in the level of reserves held by depository institutions

A question requiring a 'True/False' answer.(Required)

TrueFalse