Explain by how much does the total amount of deposits in, Ask an Expert

Economics

you take $100 you had kept under you matress and deposit it in you bank account. If this $100 stays in the banking system as reserves and if banks hold reserves equal to 10 percent of deposits, by how much does the total amount of deposits in the banking system increase? By how much does the money supply increase?

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M9280593

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