When answering this question, don't round up your answer. Suppose that for each additional dollar of excess reserves, the money supply increases by 18. If a commercial bank converts any excess reserves into new loans, what is the value of new loans made by this bank after a $61212 deposit? 57{ How much must this commercial bank keep as reserves of a new $61212 deposit? 341

When answering this question, don't round up your answer. Suppose that for each additional dollar of excess reserves, the money supply increases by 18. If a commercial bank converts any excess reserves into new loans, what is the value of new loans made by this bank after a $61212 deposit? 57{ How much must this commercial bank keep as reserves of a new $61212 deposit? 341

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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