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Which of the statements gives a true picture of the effect of lowering the cash reserve ratio by the central bank of a country? Question

Which of the statements gives a true picture of the effect of lowering the cash reserve ratio by the central bank of a country? Question 11 options: The lending capacity of commercial banks will increase The lending capacity of commercial banks will decrease The lending capacity of commercial banks may increase or decrease There is no effect on the lending capacity of commercial banks

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