The balance sheet for all banks combined in the banking system is shown below.
Whole Banking System
Demand deposits $900,000
Shareholder’s equity 100,000
All banks have a target reserve ratio of 8 percent.
ii)What is the maximum amount that loans and deposits can be increased? 是不是 75000?
iii) If the system becomes fully loaned up, by how much will the money supply have increased? 這一題我就唔知點做啦
- 1 decade agoFavorite Answer
先指聲明，我唔希望你只係抄答案，希望你可以從中學習，咁你考試先會識。我唔想害左你。有唔明歡迎追問or post message 比我。
我覺得 ii) 應該答 6,000 ， iii) 先答 75,000
因為題目係 iii) 先話"If the system becomes fully loaned up"，咁即係 ii) 無話係 fully loaned up 啦。 ii) 應該只係問你現時有仲有幾多 cash 可以借出去。
如果你比埋個 i) 我睇會好d。