Answer:
The money multiplier and money supply for this banking system is 10 and $1,000 billion respectively
Explanation:
The computation of the money multiplier and the money supply is shown below:
As we know that
Money multiplier is
= 1 ÷ required reserve ratio
= 1 ÷ 0.10
= 10
So, the money supply is
= Total Reserves × Money Multiplier
= $100 billion × 10
= $1,000 billion
hence, the money multiplier and money supply for this banking system is 10 and $1,000 billion respectively
Answer:
Make no change in Y and Z.
Explanation:
It was assumed that consumer purchases the combination of two goods, Y and Z.
For maximizing the utility of the consumer, the ratio of marginal utilities must be equal to the price ratio of the products.
We can see that the ratio of marginal utilities is equal to the price ratio of the products. Hence, the consumer should not make any changes to the combination of products.
Yes because you are helping put something together and are not being paid for it.
Answer:
The statement which is correct and true is that the debt securities usually pay interest for the fixed period or year. Therefore, the correct option is B.
Explanation:
Debt securities are the securities which refer to a debt instrument like CD (Certificate of deposit, preferred stock, corporate bond and municipal bond, it is sold or bought among the parties.
It is also called as the securities which are fixed income, therefore, the statement which is correct is that these securities pay interest for a fixed period.
