Answer:
A. vault cash and deposits with the Federal Reserve.
Explanation:
- A bank reserves include the vault deposits with the federal reserves and represent a commercial bank holding and are physically held by the bank in the central reserves.
- That is set by the minimum reserve requirements an some of the central banks ted to pay interest on these despots while others don't. They can be various types as reserves on deposits and vault on cash and borrowed reserves and free reserves.
They might not have the money to invest in a buisness
Answer:
Sarah
Explanation:
this is because Joey gets $11 for three hours and Sarah gets $12 for three hours.
Answer:
Explanation:
If the Congress passes an investment tax credit, this move will subsidizes domestic investment.
The drive to increase domestic investment causes firms to go for more loan, thus increasing the demand for loanable funds.
This causes the real interest rate to go up, consequently reducing the net capital outflow.
The downward slide in net capital outflow reduces the cash flow in the market for foreign exchange, invariably raising the real exchange rate.
The trade balance in the market also moves toward fiscal deficit, because net capital outflow, then the net exports, is lower.
The higher real interest rate also increases the quantity of national saving.
In short as saving increases, domestic investment increases, then net capital outflow declines, the real interest rate increases, the real exchange rate increases, and the trade balance moves toward a minus and deficit.