4. Which of the following changes would be the most likely to reduce the size of the...

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4. Which of the following changes would be the most likely to reduce the size of the money multiplier?

a. a decrease in the required reserve ratio

b. a decrease in excess reserves

c. an increase in cash holding by consumers

d. a decrease in bank runs

e. an increase in deposit insurance

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Macroeconomics In Modules

ISBN: 978-1464139055

3rd Edition

Authors: Paul Krugman ,Robin Wells

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