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Suppose Dawn goes online and pays off the entire balance on her bank-issued credit card with a draft from her checking account. Everything else held
Suppose Dawn goes online and pays off the entire balance on her bank-issued credit card with a draft from her checking account. Everything else held constant, this payment will cause the money multiplier to _____ and the money supply to _____.
Select one:
A.increase; decrease
B.decrease; decrease
C.increase; increase
D.remain unchanged; remain unchanged
E.remain unchanged; increase
F.decrease; increase
G.remain unchanged; decrease
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