13.2 Practice Problem 1 (algo) The Bank of Canada buys a 35000 bond from a member of the public when the reserve r include cents or minus signs in your answers. a. The bond seller's bank deposit [(Click to select) by $1 by $ b. Desired reserves at the bond seller's bank (Click to select) c. Excess reserves at the bond seller's bank [(Click to select) ✔] by $ [ d. The maximum change in the money supply is a(n) [(Click to select) of $

Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter21: The Monetary System
Section: Chapter Questions
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13.2 Practice Problem 1 (algo)
The Bank of Canada buys a 35000 bond from a member of the public when the reserve ratio in the banking system is 10. Do not
include cents or minus signs in your answers.
a. The bond seller's bank deposit (Click to select) ✓ by $
b. Desired reserves at the bond seller's bank (Click to select) ✓ by $
c. Excess reserves at the bond seller's bank (Click to select) by $
d. The maximum change in the money supply is a(n) (Click to select) of $
Transcribed Image Text:13.2 Practice Problem 1 (algo) The Bank of Canada buys a 35000 bond from a member of the public when the reserve ratio in the banking system is 10. Do not include cents or minus signs in your answers. a. The bond seller's bank deposit (Click to select) ✓ by $ b. Desired reserves at the bond seller's bank (Click to select) ✓ by $ c. Excess reserves at the bond seller's bank (Click to select) by $ d. The maximum change in the money supply is a(n) (Click to select) of $
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