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Past Exam for ECON 2006 - Principles of Economics with McLeod at Virginia Tech (VT)

Exam Information

Material Type:Exam 3
Professor:McLeod
Class:ECON 2006 - Principles of Economics
Subject:Economics
University:Virginia Polytechnic Institute And State University
Term: 2002
Keywords:
  • Requirement
  • Immediately
  • Negative Relationship
  • Reserve Requirement
  • Decrease Increase
  • Combination
  • Speculation
  • Crowding In
  • Decrease in Demand
  • Determination
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Sample Document Text

)00),- Econ 2006-91641 Exam 3 McLeod FORM A 1. The Federal Open Market Conunittee consists of the a. 7 m(~~ers selected by the President and a chairperspn selected by the Board of Governors of the Federal Reserve System. .i b. 9 directors each elected by a district FedeJ:al Resjirve Bank and 3 ./ me~ers selected by the Treasury secretary. // V ~.,~i~~~~~;i~~~;~;;;;;:~~;.:;';::.r 'F~~"'ai"StdCtbanksf \. 2. A deposit in a bank is consid~red of that bank. !7i:~ i;:~;~i t1 c. net worth d. capital ~-1 r. -; .,~~.}~", 3. Which of the following is not one of the three subsections of the Fed? 'j '\/V( . V7 rfl ~'f t?Federal Open Market Cununittee [, ::. lrl" \( (, ' i '<;:'quncil of Econorm.c Advisors J . The Federal Reserve Banks , I , "1' (;) d. The Board of Governors ' . r2J2 -- rn v 4 Assume that all banks In the banking system are loaned up. Total deposits In the banklng system are $450 million. The reserved requirement ratio is ""fO;' ~l ~ D lncreased from 20%...

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