Macmillan Learning Banks in Ruritania have a required reserve ratio of 5%. Round all answers to one place after the decimal. What is the simple money multiplier? simple money multiplier: Money leakages, however, are quite high. Required reserves and leakages amount to 25% of deposits. What is the leakage- adjusted money multiplier? leakage-adjusted money multiplier If a financial crisis develops in Ruritania, with numerous loans going into default, is the money multiplier likely to increase or decrease? O decrease O increase Which example does not represent a leakage from the money multiplier process?

Banks in Ruritania have a required reserve ratio of 5%. Round all answers to one place after the decimal. What is the simple money multiplier? simple money multiplier: Money leakages, however, are quite high. Required reserves and leakages amount to 25% of deposits. What is the leakageadjusted moncy multiplier? leakage-adjusted moncy multiplier If a financial crisis develops in Ruritania, with numerous loans going into default, is the money multiplier likely to increase or decrease? decrease increase Which example does not represent a leakage from the money multiplier process? Money leakages, however, are quite high. Required reserves and leakages amount to 25% of deposits. What is the leakageadjusted money multiplier? leakage-adjusted money multiplier If a financial crisis develops in Ruritania, with numerous loans going into default, is the money multiplier likely to increase or decrease? decrease increase Which example does not represent a leakage from the money multiplier process? cash held by the Fed cash held by individuals cash held by foreigners excess reserves