If the Fed buys $50 million of government securities, by how much will the money supply increase

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If the Fed buys $50 million of government securities, by how much will the money supply increase if the required reserve ratio is 0.15? How will your answer be different if the required reserve ratio is 0.18?

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Macroeconomics Principles and Applications

ISBN: 978-1111822354

6th edition

Authors: Robert E. Hall, Marc Lieberman

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