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a) If the currency in circulation is $600 billion, checkable deposits are $1200 billion, the required reserve ratio is 10%, and excess reserves total $1.2
a) If the currency in circulation is $600 billion, checkable deposits are $1200 billion, the required reserve ratio is 10%, and excess reserves total $1.2 billion.
Please define and calculate the money supply, monetary base, and money multiplier in the economy. (20 marks)
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