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The central bank of the fictitious country "Alpha" raises bank reserves by $200. What effect will the increase in bank reserves have on the money supply in each of the following situations:
a. If the banking system is a 100% reserve banking system, the money supply will increase by $.
b. The banking system is a fractional reserve banking system with a desired reserve deposit ratio of 0.2, the money supply will increase by $.
Hide Description More and more hiring actions start with a written essay from job candidates followed by a telephone "screening" interview.
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This is your final Discussion for this course! As you reflect upon all that you have learned here, take a look at the directed reflection provided below.
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