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During COVID 19 pandemic in 2020, many people decided to hold less cash due to the fear of infection or spreading the virus (the government
During COVID 19 pandemic in 2020, many people decided to hold less cash due to the fear of infection or spreading the virus (the government also encouraged electronic transactions). What is the possible impact on money supply, assuming everything else stays the same, based on your study on Module 11? Please elaborate on another factor that may also affect money supply (and money multiplier, such as excess reserve ratio and required reserve ratio). (3 points).
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