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The reserve requirement is 20%. Oleg receives $1,000 as a graduation present and deposits the moneyr in his checking account. The bank does NOT want
The reserve requirement is 20%. Oleg receives $1,000 as a graduation present and deposits the moneyr in his checking account. The bank does NOT want to hold excess reserves. What is the maximum possible expansion in the money supply as a result of this initial deposit? $1,800 $5,000 $1 ,000 $4,000
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