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4. The monetary base is a principal determinant of the nation's money supply. The monetary base is: A multiple-choice question with one possible answer.(Required) 1.
4. The monetary base is a principal determinant of the nation's money supply. The monetary base is: A multiple-choice question with one possible answer.(Required) 1. The relationship between the size of the nation's money supply and the size of the total reserve base available to depositories 2. The difference between required reserves and excess reserves 3. The sum of legal reserves and coin and currency held by the public 4. The potential new deposits and loans resulting from an injection of excess reserves 5. The total of deposits each depository keeps with the Federal Reserve bank in its district 5. An increase in the reserve requirements of the Federal Reserve has which of the following effects? A multiple-choice question with one possible answer.(Required) 1. The deposit and money multipliers are reduced, accelerating the growth of credit and deposits 2. The money multiplier decreases while the deposit multiplier increases 3. The deposit and money multipliers are increased, accelerating the growth of credit and deposits 4. The deposit and money multipliers are increased, slowing the growth of credit and deposits 5. The deposit and money multipliers are reduced, slowing the growth of credit and deposits
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