Suppose Robert deposits $100 of cash into a checking account at a commercial bank. His actions will
A) decrease M1 by $10,000.
B) increase M1 by $10,000.
C) produce no change in M1, but M1 will decrease in the future because the bank has excess reserves.
D) produce no change in M1, but M1 will increase because the bank has excess reserves.
D
Economics
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