Question
The people in an economy have $110 million in money. There is only one bank in the economy that all the people deposit their money
The people in an economy have $110 million in money. There is only one bank in the economy that all the people deposit their money into, and that bank holds 3.3% of the deposits as reserves. Approximately what is the money multiplier in this economy?
Group of answer choices
32.3
30.3
33.3
25.6
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The Macro Economy Today
Authors: Bradley R. Schiller, Karen Gebhardt
14th edition
1259291820, 978-1259291821
