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Which of the Following Is the Simple Money Multiplier Equal

Question 92

Multiple Choice

Which of the following is the simple money multiplier equal to?  


A)  1 divided by the dollar amount of desired reserves 
B)  the dollar amount of total reserves divided by the dollar amount of excess reserves 
C)  the dollar amount of excess reserves divided by the dollar amount of total reserves 
D)  1 divided by the percentage of deposits that must be held by a bank in the form of reserves

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