If the reserve ratio is 12.5 percent, then $2,000 of additional reserves can create up to
a. $8,000 of new money.
b. $16,000 of new money.
c. $32,000 of new money.
d. None of the above is correct.
b
Economics
a. $8,000 of new money.
b. $16,000 of new money.
c. $32,000 of new money.
d. None of the above is correct.
b