Suppose that the required reserved ratio is 9%, currency in circulation is $620 billion, the amount of checkable deposits is $950 billion, and excess reserves are $15 billion.

a)Suppose the central bank conducts the same open market purchase as in part (b), except that banks choose to hold all of these proceeds as excess financial crisis. Assuming that currency and deposits remain the same, what happens to amount of excess reserves ratio, the money supply, and the money multiplier?