in the economy of Nocoin the banks have deposits of $400 bilion. Their res bills). There are no coins! reserves are $80 billion, two thirds of which is in deposits with the central bank. Households and firms hold $20 billion in bank notes (dollar Calculate the banks' desired reserve ratio and the currency drain ratio (as percentages) The banks' desired reserve ratio ispercent The currency drain ratio ispercent
in the economy of Nocoin the banks have deposits of $400 bilion. Their res bills). There are no coins! reserves are $80 billion, two thirds of which is in deposits with the central bank. Households and firms hold $20 billion in bank notes (dollar Calculate the banks' desired reserve ratio and the currency drain ratio (as percentages) The banks' desired reserve ratio ispercent The currency drain ratio ispercent
Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter21: The Monetary System
Section: Chapter Questions
Problem 12PA
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