Describe in detail the differences between the three hypothetical countries' money supplies, money multipliers, and likely impacts on each economy.

1. In the hypothetical country of Westlandia. banks are required to hold 20% of checkable deposits as reserves. The public holds 50% of the loans as currency in circulation and redeposits the remaining 50% percent of the loans. 50% of loan Required proceeds Loan Round Deposits Excess Reserves New are held as Reserves Loans proceeds of 20% currency in redeposited circulation by people $500 100 400 400 200 200 200 40 160 160 80 80 80 16 64 64 32 32 4 32 6.40 25.60 25.60 12.80 12.80 12.80 2.56 10.24 10.24 5.12 5.12 6 5.12 1.02 4.10 4.10 2.05 2.05 2.05 41 1.64 1.64 82 82 82 16 66 66 33 .33 9 33 07 26 26 .13 .13 10 13 03 10 10 05 05 Totals 833.25 166.65 666.60 666.60 333.30 333.302. In the hypothetical country of Middlelandia, banks are required to hold 20% of checkable deposits as reserves. Also, the public holds none of the loans as currency in circulation and redeposits all the loans. None of loan proceeds Required Loan Excess New are held as Round Deposits Reserves proceeds Reserves Loans currency of 20% redeposited in circulation by people $500 100 400 400 0 400 2 400 0 320 320 0 320None of loan Required proceeds Excess New Loan Round Deposits Reserves are held as Reserves proceeds Loans of 20% currency redeposited in circulation by people 320 64 256 256 0 256 256 51.20 204.80 204.80 0 204.80 5 204.80 40.96 163.84 163.84 0 163.84 6 163.84 32.77 131.07 131.07 0 131.07 7 131.07 26.21 104.86 104.86 0 104.86 8 104.86 20.97 83.89 83.89 0 83.89 9 83.89 16.78 67.11 67.11 0 67.11 10 67.11 13.42 53.69 53.69 0 53.69 Totals 2,231.57 446.31 1,785.26 1,785.26 0 1,785.263. In the hypothetical country of Eastlandia, banks are required to hold 10% of checkable deposits as reserves. Also, the public holds none of the loans as currency in circulation and redeposits all the loans. None of loan Required proceeds Round Deposits Excess Loan Reserves New are held as proceeds of 10% Reserves Loans currency redeposited in circulation by people 1 $500 50 450 450 0 450 450 45 405 405 0 405 3 405 40.50 364.50 364.50 0 364.50 364.50 36.45 328.05 328.05 0 328.05 5 328.05 32.81 295.25 295.25 0 295.25 6 295.25 29.52 265.72 265.72 0 265.72 7 265.72 26.57 239.15 239.15 0 239.15 8 239.15 23.91 215.23 215.23 0 215.23 9 215.23 21.52 193.71 193.71 0 193.71 10 193.71 19.37 174.34 174.34 0 174.34 Totals 3,256.61 325.66 2,930.95 2,930.95 0 2,930.95