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Increase in ventura bank net worth

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Reference no: EM132232334

Say that Fed policy requires all banks to hold 8% of deposits in reserves. If Ventura Bank does not hold any excess reserves and the Fed increases the reserve requirement to 10%, what will be the result?

A. An increase Ventura Bank's ability to make loans.

B. The money supply in the economy decreases.

C. An increase in Ventura Bank's net worth.

Reference no: EM132232334

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