Question: When the monetary base is equal to $200 billion, the desired reserve ratio is 0.10 and the currency ratio is equal to 0.20, the money

When the monetary base is equal to $200 billion, the desired reserve ratio is 0.10 and the currency ratio is equal to 0.20, the money supply is equal to

A) $800 billion

B) $600 billion

C) $500 billion

D) $300 billion

Answer:A

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