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Compute the impact on the money multiplier of a fall in the currency-to-deposit ratio from 10 percent to 8 percent when the reserve requirement is

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Compute the impact on the money multiplier of a fall in the currency-to-deposit ratio from 10 percent to 8 percent when the reserve requirement is 10 percent of deposits, and banks' desired excess reserves are 3 percent of deposits. Instructions: Enter your responses rounded to two decimal places. When desired currency holdings = 10% of deposits, m= 4.78 When desired currency holdings = 8% of deposits, m=

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