At Westonci.ca, we connect you with the answers you need, thanks to our active and informed community. Explore thousands of questions and answers from knowledgeable experts in various fields on our Q&A platform. Our platform provides a seamless experience for finding reliable answers from a network of experienced professionals.
Sagot :
If the reserve requirement of a bank is 50%, then the multiplier effect will be 2 and $100 in M1 will increase the money supply by $200.
Money in circulation, including cash, coins, and account balances, is collectively referred to as the "money supply." A collection of secure assets that individuals, businesses, and governments can use to make payments or hold as short-term investments is generally referred to as the money supply. Many indicators of the money supply, for instance, include the value of U.S. currency as well as the balances in checking and savings account. The monetary base, M1, and M2 are three examples of common metrics of the money supply.
Learn more about Money supply here:
https://brainly.com/question/1099440
#SPJ4
We hope our answers were helpful. Return anytime for more information and answers to any other questions you may have. We appreciate your visit. Our platform is always here to offer accurate and reliable answers. Return anytime. Westonci.ca is here to provide the answers you seek. Return often for more expert solutions.
