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What is the money supply based on the information above

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Reference no: EM132415555

Problem: The following balance sheet is for United States Bank (USB). USB is the only bank in the country. USB takes deposits and makes loans. It holds reserves as cash in the vault.

Assets Liabilities

Reserves: $160 Deposits: $800

Loans: $640

Q1: Suppose there is no cash in the hands of the non-bank public. What is the money supply based on the information above?

Reference no: EM132415555

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