Question 9 Consider the following aggregated t-table for the banking system of Tycho: Presume the current reserve ratio is the banks target reserve ratio Assets Liabilities Reserves: Deposits: 113 Loans: 191 If the people of Tycho have a currency ratio of 0.49. The financial intermediaries of Tycho decide to decrease their Target Reserve Ratio by 200bps Compute the change in the money supply due to this decision. Note: A 1bps = 0.01% point 100bps = 1% point Record your unitless answer to two decimal places. Answer: 14.25 x (5.07) Question 10 Consider the following aggregated t-table for the banking system of Tycho: Presume the current reserve ratio is the banks target reserve ratio Assets Liabilities Reserves: Deposits: 101 Loans: 81 If the people of Tycho have a currency ratio of 0.45. The central bank of Tycho increases the Monetary base (Via reserves) by 95 By how much does the money supply change by? Record your unitless answer to two decimal places. Answer: 13,719.55 X (212.57)