In a system of fractional-reserve banking, even without any action by the central bank, the money supply

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In a system of fractional-reserve banking, even without any action by the central bank, the money supply declines if households choose to hold _________ currency or if banks choose to hold _________ excess reserves.

a. more; more

b. more; less

c. less; more

d. less; less

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Brief Principles Of Macroeconomics

ISBN: 9780357133507

9th Edition

Authors: N. Gregory Mankiw

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Question Posted: Feb 28, 2024 04:01 AM

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In a system of fractional-reserve banking, even without any action by the central bank, the money supply

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Brief Principles Of Macroeconomics

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