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SOLVED: suppose that households wish to maintain 1.00 in pocket change (currency, coin),10.00 in liquid savings assets (small cds, money funds, savings accounts) for every 1 in their checking accounts. if banks choose their desired reserves to be ten cents for every dollar of transaction deposits, what are the reserve multiplier, money (M2) multiplier if the fed reserves reserve requirement ratio is a. 8 percent; b. 10 percent; c. 12 percent

SOLVED: suppose that households wish to maintain 1.00 in pocket change (currency, coin),10.00 in liquid savings assets (small cds, money funds, savings accounts) for every 1 in

VIDEO ANSWER: Listen to the answer to the debt. The required reserves are 10% and the total reserves are 100 billion dollars. The given reserves are dollars 10…

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