Question: 8. Changes in the excess reserves ratio Suppose the value of the excess reserves ratio decreases. Then the money supply multiplier will increase Which of

8. Changes in the excess reserves ratio Suppose the value of the excess reserves ratio decreases. Then the money supply multiplier will increase Which of the following can explain a decrease in the excess reserves ratio? A relatively large volume of cash transactions OA relatively small volume of cash transactions A credit crunch Underdeveloped financial markets Public mistrust of banks

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