Quiz 4 - marked .pdf - Quiz 4 12)13 PM ECON 248v9...

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2018-03-12, 12)13 PM Quiz 4 Page 1 of 11 ECON 248v9 Macroeconomics Question 1 Correct Mark 1.00 out of 1.00 Flag question Question 2 Correct Mark 1.00 out of 1.00 Flag question Question 3 Started on Friday, 5 January 2018, 9:41 PM MST State Finished Completed on Monday, 12 March 2018, 11:01 AM MDT Time taken 65 days 12 hours Marks 21.00/30.00 Grade 70.00 out of 100.00 What is the de fi nition of M1? Select one: a. currency held by individuals and businesses plus chequable deposits b. currency held by individuals and businesses plus non-chequable deposits c. currency held by individuals and businesses only d. currency held by individuals and businesses plus fi xed term deposits e. currency The correct answer is: currency held by individuals and businesses plus chequable deposits If you wrote a cheque to make a purchase of textbooks, which function of money would you be using? Select one: a. commercial function b. medium of exchange c. measure of liquidity d. unit of account e. store of value The correct answer is: medium of exchange What is the di ff erence between M1 and M2?
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2018-03-12, 12)13 PM Quiz 4 Page 2 of 11 Correct Mark 1.00 out of 1.00 Flag question Question 4 Correct Mark 1.00 out of 1.00 Flag question Question 5 Incorrect Mark 0.00 out of 1.00 Flag question Question 6 Correct Mark 1.00 out of 1.00 Flag question Select one: a. M1 includes currency held by individuals and businesses, and M2 does not. b. M1 includes chequable deposits, and M2 does not. c. M2 includes fi xed term deposits, and M1 does not. d. M1 includes non-chequable deposits, and M2 does not. e. M2 is always smaller than M1. The correct answer is: M2 includes fi xed term deposits, and M1 does not. Which one of the following is not a service of depository institutions? Select one: a. lowering the cost of borrowing b. lowering the cost of monitoring borrowers c. creating liquidity d. providing a place for reserve account deposits e. pooling risk The correct answer is: providing a place for reserve account deposits The payments system refers to the system through which Select one: a. the Bank of Canada makes settlements with chartered banks. b. banks make payments to each other to settle transactions by their customers. c. bank notes are issued by the Bank of Canada. d. individuals make payments to each other to settle transactions. e. bankruptcies are declared. The correct answer is: banks make payments to each other to settle transactions by their customers. If a customer of a bank makes a withdrawal from his chequable deposit account, Select one: a. the bank's reserve ratio remains the same. b. M2 decreases.
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2018-03-12, 12)13 PM Quiz 4 Page 3 of 11 Question 7 Correct Mark 1.00 out of 1.00 Flag question Question 8 Incorrect Mark 0.00 out of 1.00 Flag question Question 9 Correct Mark 1.00 out of 1.00 Flag question c. M1 decreases.
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