Suppose the Federal Reserve increases the amount of reserves by $100 million and the total money supply increases by $400 million. Instructions: Enter your answers as a whole number.            a.  What is the money multiplier?                  ______             b.   Using the money multiplier from part a, how much will the money supply change if the Federal Reserve increases reserves by $40 million?                $ _______ million

Suppose the Federal Reserve increases the amount of reserves by $150 million and the total money supply increases by $600 million.   Instructions: Enter your answers as a whole number.   a. What is the money multiplier?            b. Using the money multiplier from part a, how much will the money supply change if the Federal Reserve increases reserves by $40 million?        $  million

Suppose the Federal Reserve increases the amount of reserves by $150 million and the total money supply increases by $750 million. Instructions: Enter your answers as a whole number. a. What is the money multiplier? b. Using the money multiplier from part a, how much will the money supply change if the Federal Reserve increases reserves by $50 million? 2$ million

H3. The Fed wants to change the reserve requirement ratio in order to increase the money supply (Which is currently $5,000 in demand deposits. There is no currency in this economy and banks hold no excess reserves.) by $500. The money multiplier is currently 5. What is the current reserve requirement ratio and how should the Fed change it? Carefully Explain.

Suppose Robina Bank receives a deposit of $53,589 and the reserve requirement is 3%. Answer the questions using this information. Round your answers to two decimal places. What is the amount that Robina Bank must keep on hand as required by the Federal Reserve (Fed)? What is the amount that Robina Bank must have in excess reserves from this initial deposit? What is the total change in the M1 money supply from this one deposit? keep on hand: $ excess reserves: $ total change: $ Activate Windows 11:01 PM

Assuming that banks lend all of their access reserves and people deposit all of their money, what will the Fed have to do in order to increase the supply of money by $120 billion if the Required Reserves Ratio is .20? Select one: a. It needs to buy $20 billion dollar worth of bonds from banks b. It needs to buy $24 billion dollar worth of bonds from banks c. It needs to sell $20 billion dollar worth of bonds from banks d. It needs to sell $24 billion dollar worth of bonds from banks e. It needs to sell $40 billion dollar worth of bonds from banks

Assume that the banking system has total reserves of Rs.200 billion. Assume also that required reserves are 12.5 percent of checking deposits and that banks hold no excess reserves and households hold no currency.If the State Bank of Pakistan now raises required reserves to 20 percent of deposits, Calculate the money multiplier?  What will be the effect on Reserves?  (write only one word “Increase”, “Decrease”, or “No Change” ) The amount of money supply will decline to

6. The simple money multiplier is given as = rr Question: Using the formula for the simple money multiplier, what is multiplier if the required reserve ratio is 15 %? If it is 12.5%?