Question: Question 4 2 points The banking system has $5,000 in reserve, $45,000 in loans, and $50,000 in deposits. Currently the reserve requirement is 10%. If
Question 4 2 points The banking system has $5,000 in reserve, $45,000 in loans, and $50,000 in deposits. Currently the reserve requirement is 10%. If the Fed lowers reserve requirement to 5%, what is the maximum amount of loans the banking system could make? A $95,000 B. $92,500 C. $80,000 D. $72,500
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