By how much more does the money supply increase

Reference no: EM131481580

Question: Using a required reserve ratio of 10% and assuming that banks keep no excess reserves, imagine that $300 is deposited into a checking account. By how much more does the money supply increase if the Fed lowers the required reserve ratio to 7%?

Reference no: EM131481580

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By how much more does the money supply increase : sing a required reserve ratio of 10% and assuming that banks keep no excess reserves, imagine that $300 is deposited into a checking account.

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