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There is a rush of people who put in additional money into demand deposits at a local community ...

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There is a rush of people who put in additional money into demand deposits at a local community ...

There is a rush of people who put in additional money into demand deposits at a local community bank. All else remaining equal, which of the following is NOT a corresponding change that could occur to keep the bank's balance sheet in balance?

▸ Decrease in stock-holder equity

▸ Increase in reserves and cash equivalents

▸ Increase in stock-holder equity

▸ Increase in loans given out by the bank

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Macroeconomics

Edition: 3^rd

Authors: Acemoglu, Laibson, List

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