1. What backs the US dollar? Include the distinction between commodity and fiat money.
2. Should the Fed be independent or a government agency subordinate to congress and president?
3. If you deposit a $20 bill into a checking account and you bank has a 10% reserve requirement, by how much will the banks excess reserves rise?
4. Suppose you remove $1000 from under your mattress and deposit it in first national bank. Using a balance sheet, show the impact of your deposit on the banks assets and liabilities. If the required reserve ratio is 10%,what is the maximum amount the bank can loan from this deposit?