Multiple Choice
Other things the same, if reserve requirements are decreased, the reserve ratio
A) increases, the money multiplier increases, and the money supply increases.
B) decreases, the money multiplier increases, and the money supply increases.
C) increases, the money multiplier decreases, and the money supply decreases.
D) decreases, the money multiplier decreases, and the money supply increases.
Correct Answer:

Verified
Correct Answer:
Verified
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