Question: * Round to 2 decimal places * 1 ) If there are no excess reserves, what is the Required Reserve Ratio ( RR ) 2
Round to decimal places
If there are no excess reserves, what is the Required Reserve Ratio RR
Based on the RR what is the deposit multiplier?
The multiplier can be interpreted to mean a $ increase in deposits will lead to a $
change in the M money supply.
Based on the deposit multiplier, what will the change in the M money supply be
What is the increase in the M money supply if Deposits represents the initial deposit?
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