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What is the deposit multiplier what is the total decrease

Assignment Help Macroeconomics
Reference no: EM133377141

Question: Suppose that the required reserve ratio is 10 percent and you withdraw $25,000 from Comerica Bank.

  • What is the deposit multiplier?
  • What is the total decrease in deposits in the banking system?
  • What is the change in the money supply?

 

Reference no: EM133377141

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