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    Macroeconomics Principles Study Set 1
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    Exam 12: Money Creation and the Federal Reserve
  5. Question
    If the Potential Money Multiplier Is 4, Then the Reserve
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If the Potential Money Multiplier Is 4, Then the Reserve

Question 229

Question 229

Multiple Choice

If the potential money multiplier is 4, then the reserve requirement is


A) 4.
B) 0.25.
C) 0.2.
D) 0.1.

Correct Answer:

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