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1 September, 01:05

When banks hold excess reserves, the size of the money multiplier

A. is less than the simple deposit multiplier would suggest.

B. is greater than the simple deposit multiplier would suggest.

C. is equal to the size of the simple deposit multiplier.

D. becomes infinite.

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Answers (1)
  1. 1 September, 03:23
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    D it becomes infinite.
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