Question #3: The Money Multiplier [17 Points) Suppose that the following information describes the banking system in Belarus. Currency = $940 billion Checking Deposits = $1,475 billion Total Reserves = $198 billion Required Reserves = $177 billion (a) Calculate the level of the monetary base (MB) in the banking system of Belarus. [2 Points] (b) Given the above data calculate the money multiplier (m). Round your answer to 2 decimal places. [4 Points) (c) Suppose that in the banking system the amount of currency in circulation has increased to $975 billion from its initial level of $940 billion. Assume that all the other variables remain constant. Given the change in currency, calculate the new values of (i) the monetary base. [2 Point) (ii) the money multiplier. Round your answer to 2 decimal places. [3 Points] (iii) the level of money supply. [2 Points) (d) Give the economic intuition (in words) on why an increase in the currency holdings would decrease the money supply in the Belarusian economy. [4 Points]