1a. The deposit expansion multiplier will be larger the:

a. Greater the percentage of excess reserves held by banks b. Larger the bank c. Greater the value of the assets held by the bank d. Smaller the reserve requirement

1b: Which of the following is not one of the characteristics or properties that make something appropriate to be used as money?

a. Portable b.Divisible c. Investible d. Durable e. Recognizable

1c: Financial intermediaries act to reallocate (move) money from borrowers to savers.

A. True B. False

1d: Which of the following is not included as one of the component values of an SDR?

a. British Pound b. Swiss Franc c. U.S. Dollar d. Japanese Yen