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Suppose a Goldsmith (Banker)received an Additional Number of Gold Coins

Question 218

Multiple Choice

Suppose a goldsmith (banker) received an additional number of gold coins to put in his safe and had stopped making loans.What would be happening to his reserve ratio?


A) It would be rising.
B) It would be falling.
C) It would stay the same.
D) There is not enough information to answer this question.

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