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4. New deposits have increased at financial institutions by $1 billion through the Fed's open market operations. If the reserve requirement for all deposits is
4. New deposits have increased at financial institutions by $1 billion through the Fed's open market operations. If the reserve requirement for all deposits is 10%, what is the maximum change in money supply the Fed's action can have on total loanable funds? Select one: O a. $9 billion increase O b. $900 million increase O c. $11 billion increase O d. An increase greater than $1 billion O e. Total deposits would decrease, but there is not enough information to compute the amount
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