If the required reserve ratio is increased from .1 to .2, the demand deposit expansion multiplier
A) increases from 10 to 5.
B) increases from 4 to 4.5.
C) decreases from 5 to 2.5.
D) decreases from 10 to 5.
D
Economics
You might also like to view...
Which of the following activities can create a beneficial externality?
a. Parking cars on the road in front of your house. b. Encouraging children to play on the field opposite a hospital. c. Planting colorful flowers in your garden. d. Practicing and playing drums in the morning hours.
Economics
How many countries have deposit insurance programs?
a. About 50 b. About 70 c. About 100 d. All countries
Economics