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i) You are given the following information for a hypothetical economy. r = required reserve ratio 0.10 c= currency ratio 0.5 D = checkable deposits

i) You are given the following information for a hypothetical economy. r = required reserve ratio 0.10 c= currency ratio 0.5 D = checkable deposits k800 billion e =excess reserves ratio k0.001

Calculate the value of the following;

a)Total reserves

b) currency in circulation

c) monetary base

d) money supply

e) money multiplier(and interpret it)

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