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If You Deposit $100 into a Demand Deposit at a Bank

Question 157

Multiple Choice

If you deposit $100 into a demand deposit at a bank, what does this action do to the money supply?


A) It increases the money supply by more than $100.
B) It increases the money supply by less than $100.
C) It decreases the money supply by more than $100.
D) It decreases the money supply by less than $100.

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