Multiple Choice
The Fed changes reserve requirements from 10 percent to 7 percent,thereby creating $900 million in excess reserves. The total change in deposits (with no drains) would be
A) $3,000 million.
B) $15,625 million.
C) $12,857 million.
D) $3,795 million.
E) None of these choices are correct.
Correct Answer:
Verified
Correct Answer:
Verified
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