Question: Can you help me answer this question? From the initial money supply M from central bank, Quantity of money in the economy = M x

Can you help me answer this question?

From the initial money supply M from central bank,

Quantity of money in the economy = M x money multiplier

In the special case of the 100-percent-reserve banking regulation, the money multiplier is

A. 1 and banking system does create money

B. 1 and banking system does not create money

C. 2 and banking system does create money

D. 2 and banking system does not create money

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