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if every bank system with a 12.5 percent requires reserve ratio continues to make new loans until excess reserves in the entire system are equal

if every bank system with a 12.5 percent requires reserve ratio continues to make new loans until excess reserves in the entire system are equal to zero and there are no currency leakages, then checkable deposits can increase by a maximum of

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rently has ir the reqret reserve ratio is 12.5 percent, the banking system s12.5 billion 550 Baltion 2.5 bilics so. if the required reserve ratio is 12.5 percent, the simple deposit multiplier is equal t b. d. 12.5. .every bank in the system with a 12.5 percent required reserve ratio continues to make new loans until excess reserves in the entire system are equal to zero and there are ns currency leskages. then checkable deposits can increase by a maximum of s8 billion. Sio billion $12.5 billion. b. d. $20 billion. o If the MI money supply was initially equal to $1,500 billion, and then checkable deposits 9 increased by the amount indicated in the previous question, the new value of MI will be a. $2,000 billion. b. S1,520 billion. c. $2,500 billion. d. $1,600 billion

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