See questions below

[2 points] True orfalse: holding base money Mo and the currency drain ratio c xed, an increase in the reserve ratio leads to an increase in the money supply M. l[Ihoose answer here. True. False. Explain choice here {optional}. % [2 points] True orfalse: one of the reasons discussed in class that small rms rely on banks rather than bond markets to raise capital is that small rms tend to be located in smaller cities and towns, far from from the investment banks who would underwrite their bonds. Choose answer here. True. False. Explain choice here {optional}. % [2 points] True orfalse: in the context of the Aggregate Expenditure Model, the bursting of an asset bubble causes a recession primarily by shrinking the multiplier rn. Choose answer here. True. False. Explain choice here {optional}. %