ECONOMICS
The loans represent money created by the banking system How much money was created by the banking system after these transactions? _________
ECONOMICS
Why might a banking crisis lead to a fall in the money supply?
ECONOMICS
How does the size of the RRR affect the banking system's ability to create money?
ECONOMICS
It is said that fractional reserve banking allows banks to create money? What is meant by this?
ECONOMICS
How does the deposit multiplier formula allow the Fed to create money through the banking system?
ECONOMICS
True or False. Anyone who has enough money has the legal right to start a banking business.
ECONOMICS
Why does fractional reserve banking leave banks vulnerable to failure if too many consumers demand their money at the same time?
ECONOMICS
(a) Identify the powers the National Banking Acts of 1863 and 1864 gave to the federal government. (b) How did each of these powers help stabilize the American banking system? (c) Which of these reforms do you think contributed most to the stability of American money and banks? Why?
ECONOMICS
Why don’t banks hold 100 percent reserves? How is the amount of reserves banks hold related to the amount of money the banking system creates?
ECONOMICS
If the reserve ratio is ¼ and the central bank increases the quantity of reserves in the banking system by $120, the money supply increases by a.$90. b. $150. c.$160. d. $480.
ECONOMICS
Define: a. barter economy b. transaction costs c. money d. medium of exchange e. unit of account f. store of value g. fractional reserve banking
ECONOMICS
How does investment banking differ from commercial banking?
ECONOMICS
You take $100 you had kept under your mattress and deposit it in your bank account. If this$100 stays in the banking system as reserves and if banks hold reserves equal to 10 percent of deposits, by how much does the total amount of deposits in the banking system increase? By how much does the money supply increase?
ECONOMICS
List four banking problems that arose during the Free Banking, or "Wildcat," Era.
QUESTION
The quantity of money demanded rises (that is, there is a movement along the money demand curve) when A. the aggregate price level increases. B. the aggregate price level falls. C. real GDP increases. D. new technology makes banking easier. E. short-term interest rates fall.
QUESTION
Assume that any money lent by a bank is deposited back into the banking system as a checkable deposit and that the reserve ratio is 10%. Trace out the effects of a $100 million open-market purchase of U.S. Treasury bills by the Fed on the Value of checkable bank deposits. What is the size of the money multiplier?
ECONOMICS
Assume that the banking system has total reserves of $100 billion. Assume also that required reserves are 10 percent of checking deposits and that banks hold no excess reserves and households hold no currency a. What is the money multiplier? What is the money supply? b. If the Fed now raises required reserves to 20 percent of deposits, what are the change in reserves and the change in the money supply?
QUESTION
The widespread use of technology has revolutionized the banking industry, making it much easier for customers to access and manage their money. Does this mean that the shoe -leather costs of inflation are higher or lower than they used to be? Explain.
ECONOMICS
What is electronic banking?
COMPUTER SCIENCE
Change the Account class so that funds can be moved from one account to another. Think of this as withdrawing money from one account and depositing it into another. Change the main method of the Banking class to show this new service.
DISCRETE MATH
The figure shows that a bicyclist tips the cycle when making a turn. The angle B, formed by the vertical direction and the bicycle, is called the banking angle. The banking angle varies inversely as the cycle's turning radius. When the turning radius is 4 feet, the banking angle is $$ 28 ^ { \circ } $$ What is the banking angle when the turning radius is 3.5 feet?
ECONOMICS
What is fractional reserve banking?
QUESTION
What is the banking model of education?
BUSINESS MATH
List advantages of online banking.
ECONOMICS
Why was the National Banking System created?