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not too sure of that Table 14-1 Assets Liabilities Reserves $200,000 Demand Deposits $2,000,000 Desired $200,000 Excess 0 Loans $1,800,000 Total Assets $2,000,000 Total Liabilities

not too sure of that

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Table 14-1 Assets Liabilities Reserves $200,000 Demand Deposits $2,000,000 Desired $200,000 Excess 0 Loans $1,800,000 Total Assets $2,000,000 Total Liabilities 52,000,000 In Table 14-1, an open market operation in which the Bank of Canada purchased $100.000 of government securities would O A. cause demand deposits to fall by $100,000. O B. create a reserve deficiency for the banking system. C. generate $100,000 of excess reserves for the banking system, O D. lead to a total expansion of the money supply of $100,060

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