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Part $1$

In$2008,$ the required reserve ratio for a$$ bank's first$$ $$9\mathrm{.}3$ million in checking account deposits was zero. It was $3$ percent on deposits between$$ $$9\mathrm{.}3$ million and$$ $$43\mathrm{.}9$ million, and $10$ percent on deposits above$$ $$43\mathrm{.}9$ million. In most$$ cases, and for$$ simplicity, we assume that the required reserve ratio is $10$ percent on all deposits.$$ Therefore, the simple deposit multiplier is $10.$

Part $2$

Is the$$ real$-$world deposit multiplier greater$$ than, less$$ than, or equal to the simple deposit$$ multiplier?

Part $3$

A$.$

Less. The simple deposit multiplier is a model with assumptions that keep it higher than the$$ real$-$world multiplier.

B$.$

Equal. There is no difference between the two.

C$.$

Greater. Inflation plays a large role in the increase in checkable deposits.

D$.$

None of the above. They are very different concepts.