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

Question 195

Question 195

Multiple Choice

If the potential money multiplier is 5, the reserve requirement is


A) 2%.
B) 5%.
C) 10%.
D) 20%.

Correct Answer:

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