commercial bank receives a currency deposit, cash is taken out of circulation. Thus, there will be a decrease of money supply.” State whether true or false and explain why using the concept of

Survey Of Economics
10th Edition
ISBN:9781337111522
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter19: Money Creation
Section: Chapter Questions
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 “If a commercial bank receives a currency deposit, cash is taken out of circulation. Thus, there will
be a decrease of money supply.” State whether true or false and explain why using the concept of money supply and money multipier.

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