Question
Consider the following balance sheet for Capital One. Assets Liabilities Reserves 99 Deposits 1100 Loans 1001 Suppose that Capital One is a typical bank and
Consider the following balance sheet for Capital One.
| Assets | Liabilities | ||
|---|---|---|---|
| Reserves | 99 | Deposits | 1100 |
| Loans | 1001 |
Suppose that Capital One is a typical bank and keeps only the required reserves. In addition, suppose that someone deposited $500.
Given this data, what is the total change in the M1 Money Supply?
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Fraud examination
Authors: Steve Albrecht, Chad Albrecht, Conan Albrecht, Mark zimbelma
4th edition
538470844, 978-0538470841
