1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
SashulF [63]
2 years ago
14

Please explain in detail how would each following events affect the U.S. money supply? a. Banks decide to hold more excess reser

ves. b. People withdraw cash from their bank accounts for Christmas shopping. c. The Federal Reserve sells gold to the public.
Business
1 answer:
nikklg [1K]2 years ago
7 0

Banks decide to hold more excess reserves.

Option - a

<u>Explanation: </u>

The US currency flow is the entire physical cash that circulates throughout the world and the funds in checks and savings.

a. Excess reserves are reserves beyond the legal deposit holding requirements of banks. The rise in the deposit rate of banks decreases financial multipliers which allow the supply of money to decrease.

b. Cash for Christmas shopping is deducted from people's bank accounts::

The expanded currency holding would boost the deposit rate, increasing the liquidity multiplier and decrease the money supply.

c. The Fed is selling gold to public

Gold selling to the public have the same impact as open market bond purchases — it decreases the economic base and thus the money supply fall.

You might be interested in
The great disparity in economic prosperity between north and south korea can best be explained by the​ _____________.
Diano4ka-milaya [45]
Political and economic system differences
5 0
3 years ago
Read the scenario and answer the question.
Aleksandr-060686 [28]

Answer:

A). The price of gasoline increased in coastal cities since gasoline was harder to find.

Explanation:

As per the principles of demand and supply, a decrease in supply while demand remains constant will cause the price to increase.  In Georgia, the supply of gasoline was interrupted by the storm's effect. There was little gasoline coming in, leading to a shortage. After Electricity went off, gasoline demand must have gone high as people needed fuel for generators.

Gasoline has no close substitutes, especially when used as fuel for cars and generators. A shortage results in the scramble for the little available products. Sellers hike prices to maximize profits, and buyers are willing to pay more to get the scarce gasoline, thereby increasing its prices.

6 0
3 years ago
One example of a company that is allowed to sell shares to the public​
Nuetrik [128]

A public company may be formed by persons among the public including Indian nationals or foreigners. It may be conceived in the government, cooperative, joint, as well as private sector of the economy. Some examples of public companies are, Reliance Industries, Tata Motors, Bharti Airtel, Larsen & Tourbo, etc.

mark me bainlest plss

5 0
2 years ago
Assess how entrepreneurship may be a viable option to counteract unemployment​
makkiz [27]

Answer:

As we've lightly touched on already, entrepreneurial enterprises provide citizens with paying jobs in order to operate and grow. They also provide employees with the means to further grow one's own earning potential through training and on-the-job experience.

3 0
2 years ago
A parent sold land costing $400,000 to its subsidiary for $450,000 in 2017. The subsidiary still holds the land at the end of 20
nadezda [96]

Answer:

correct option is a. Land

Explanation:

given data          

land costing =  $400,000        

subsidiary 2017 = $450,000      

land credit = $50,000        

                 

solution            

While when we consolidating  land that will  appear in the group asset at the amount of 450,000.  

so here the appreciation in the value of land is not  realized gain .

so that there will be  credit to land with 50,000

so correct option is a. Land

5 0
2 years ago
Other questions:
  • How are the FAFSA, SAR, and EFC related?
    5·1 answer
  • Assume that a profit maximizing monopolist is producing a quantity such that marginal revenue exceeds marginal cost. we can conc
    13·1 answer
  • 12 less than the quantity of a number and 7 is -2
    9·1 answer
  • All the following investment instruments produce the same rate of interest. Which could be most advantageous for ia taxpayer res
    14·1 answer
  • Hannah allowed her friend Carol to borrow her laptop computer for a week during Thanksgiving Break. During that time Carol, with
    10·1 answer
  • recommend ways in which business can contribute some an effort to advance the well-being of others in business context in improv
    14·1 answer
  • We are pleased to offer you the position of assistant manager. We propose a start date of March 14.
    15·2 answers
  • has a target debt−equity ratio of 1.35. Its WACC is 8.3 percent, and the tax rate is 35 percent. If the company’s cost of equity
    9·1 answer
  • Click to review the online content. Then answer the question(s) below, using complete sentences. Scroll down to view additional
    7·1 answer
  • Lack of access to key distribution channels is considered weakness true or false​
    12·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!