If Susan Kalanti deposits 400,000 USD into a saving account at CITIBANK, and you know that CITIBANK, because of the monetary regulations, will loan a maximum of 84% of that amount, then the money supply in the economy is expected to O increase by approximately 1.5 Million USD. decrease by approximately 2.O Million USD. increase by approximately 2.5 Million USD. None of the above.
If Susan Kalanti deposits 400,000 USD into a saving account at CITIBANK, and you know that CITIBANK, because of the monetary regulations, will loan a maximum of 84% of that amount, then the money supply in the economy is expected to O increase by approximately 1.5 Million USD. decrease by approximately 2.O Million USD. increase by approximately 2.5 Million USD. None of the above.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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