How is money supply affected if central bank prints sheckels

Reference no: EM13208257

Currency held by the public is 1000 sheckels, bank reserves are 200 sheckels, and the desired reserve-deposit ratio is 0.2. What is the money supply? How is the money supply affected if the central bank prints 100 sheckels and uses this new currency to buy govenment bonds from the public?

Reference no: EM13208257

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How is money supply affected if central bank prints sheckels : Currency held by the public is 1000 sheckels, bank reserves are 200 sheckels, and the desired reserve-deposit ratio is 0.2. What is the money supply How is the money supply affected if the central bank prints 100 sheckels

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