Suppose the Fed decided to purchase 310 billion worth of government securities in the open market. What impact would this action have on the economy? Specially answer the following questions. 1. How will the banking system's lending capacity be affected ifthe reserve requirement is 10%? Answer following Questions: a. How much is Reserve Requirement? b. How much Is Excess Reserve or initial loan? c. How much is the money multiplier? Show your work. I d. How much additional money will be added towards existing money. because of government purchase of $10 billion? 2. How will banks induce investors to utilize this expanded lending capacit