In April 2011, the money supply, as measured by M1, was approximately $1,917 billion. The monetary base
Question:
a. What was the value of the money multiplier?
b. Why is the value of the money multiplier typically greater than 1? What is the key reason that it was less than 1 in 2011?
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Related Book For
Macroeconomics
ISBN: 9780132109994
1st Edition
Authors: Glenn Hubbard, Anthony Patrick O'Brien, Matthew P Rafferty
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