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Suppose Deborah deposits her payroll check from Barnes & Noble into her demand deposit account. Suppose further that commercial banks are making some loans. This
Suppose Deborah deposits her payroll check from Barnes & Noble into her demand deposit account. Suppose further that commercial banks are making some loans. This action will cause the money multiplier to _____ and the money supply to _____, everything else held constant.
Select one:
A.remain unchanged; remain unchanged
B.increase; increase
C.increase; remain unchanged
D.remain unchanged; increase
E.decrease; remain unchanged
F.decrease; decrease
G.increase; decrease
H.remain unchanged; decrease
I.decrease; increase
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