a. The money supply, the currency deposit ratio, the excess reserve ratio, money multiplier.
b. Effect of the above said ratios on money supply.
c. To the effect on
d. Co-relate the scenario of low lending with that of amounts got from excess reserves, the excess reserve ratio, the money supply and the money multiplier.
Concept introduction:
Money supply: This is supposed to be the deposited amount from the customer.
Money multiplier: This depicts the number of times the total money is supplied or deposited into the commercial bank. Whenever there is a deposit, the number of times of money supply increases.
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Economics of Money, Banking and Financial Markets, The, Business School Edition (4th Edition) (The Pearson Series in Economics)
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