If a banking transaction created new excess reserves in the banking system, the result would tend to

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If a banking transaction created new excess reserves in the banking system, the result would tend to be

a. an increase in the amount of loans made by banks and an increase in the supply of money.

b. an increase in the amount of loans made by banks and a decrease in the supply of money.

c. a decrease in the amount of loans made by banks and an increase in the supply of money.

d. a decrease in the amount of loans made by banks and a decrease in the supply of money.

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Exploring Macroeconomics

ISBN: 9781285859446

7th Edition

Authors: Robert L. Sexton

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Question Posted: Nov 01, 2024 08:00 AM

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If a banking transaction created new excess reserves in the banking system, the result would tend to

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Exploring Macroeconomics

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