If the money multiplier is 5, what is the reserve ratio?
A) 0.10
B) 0.20
C) 0.25
D) 0.80
Correct Answer:
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Q99: If a bank's reserve ratio is increasing,
A)reserves
Q100: If the required reserve ratio is 0.12,
Q101: If the required reserve ratio is 0.10,
Q102: Assuming that the reserve ratio is 0.05
Q103: As the reserve ratio goes up, the
Q105: If the reserve ratio is 0.1, the
Q106: If people held all their money as
Q107: Which institutions can create money?
A)The government and
Q108: The amount of money ultimately created per
Q109: The formula for the money multiplier is:
A)1/e
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