Answered: The money supply is 2,000, of which 500…

The money supply is 2,000, of which 500 is currency held by the public. Bank reserves are 150. The reserve-deposit ratio equals: a. 0.15 b. 0.1 C. 0.25 d. 0.3 Oe. 0.075

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

The money supply is 2,000, of which 500 is currency held by the public. Bank reserves are 150. The reserve-deposit ratio equals:
O a. 0.15
O b. 0.1
0.25
O d. 0.3
O e. 0.075

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