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Homework answers / question archive / 1) A bank’s reserve ratio is 5 percent and the bank has $1,000 in deposits

1) A bank’s reserve ratio is 5 percent and the bank has $1,000 in deposits

Economics

1) A bank’s reserve ratio is 5 percent and the bank has $1,000 in deposits. Its reserves amount to

2) The agency responsible for regulating the money supply in the United States is

3)  The interest rate the Fed charges on loans it makes to banks is called

4) if the reserve ratio is 12.5 percent, then $5,600 of money can be generated by

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Answer:

1.

Fifty Dollars

2.

The Federal Reserve

3.

the discount rate

4.

$700 of new reserves