Suppose the Fed purchases $32,000 of U.S.Treasury bonds from Michonne, who then deposits the money with First National Bank. If the reserve ratio is 16
Suppose the Fed purchases $32,000 of U.S.Treasury bonds from Michonne, who then deposits the money with First National Bank. If the reserve ratio is 16 percent, this transaction will increase the excess reserves of First National Bank by 0 $3,000. 0 $26,330. 0 $200,000. 0 $5,120
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