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In the United Kingdom, the currency drain ratio is 38 percent of deposits and the reserve ratio is 2 percent of deposits. Calculate the U.K. money multiplier.

In the United Kingdom, the currency drain ratio is 38 percent of deposits and the reserve ratio is 2 percent of deposits. Calculate the U.K. money multiplier.

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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In the United Kingdom, the currency drain ratio is 38 percent of deposits and the reserve ratio is 2 percent of deposits. Calculate the U.K. money multiplier. The U.K. money multiplier is >>> Answer to 2 decimal places. In Australia, the quantity of money is $150 billion, the currency drain ratio is 33 percent of deposits and the reserve ratio is 8 percent. What is the monetary base in Australia? The monetary base in Australia is $ >>> Answer to 2 decimal places. billion.
Transcribed Image Text:In the United Kingdom, the currency drain ratio is 38 percent of deposits and the reserve ratio is 2 percent of deposits. Calculate the U.K. money multiplier. The U.K. money multiplier is >>> Answer to 2 decimal places. In Australia, the quantity of money is $150 billion, the currency drain ratio is 33 percent of deposits and the reserve ratio is 8 percent. What is the monetary base in Australia? The monetary base in Australia is $ >>> Answer to 2 decimal places. billion.
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