Mr. Garrison has recently obtained a bank card from South Park National Bank. Excited about the concept of using a little plastic card to get money from a machine, he quickly runs down to the nearest ATM and withdraws $500. This action has
A) reduced the bank's required reserves by $25 assuming the reserve ratio is 5 percent.
B) reduced the money supply by $500.
C) increased the money supply by $500.
D) not changed the money supply.
A
Economics
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