-Refer to the above information.If the desired reserve ratio falls from 25 percent to 10 percent,excess reserves of this single bank will:

Name: -Refer to the above information.If the desired reserve ratio falls from 25 percent to 10 percent,excess reserves of this single bank will:
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When the reserve ratio decreases, banks can hold fewer reserves and lend more, increasing excess reserves. The monetary multiplier is the inverse of the reserve ratio, so it increases from 4 (1/0.25) to 10 (1/0.10).

-Refer to the Above Information