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Refer to the information provided in Scenario 25.1 below to answer the question(s) that follow.
SCENARIO 25.1: The following table shows the changes in deposits, reserves, and loans of 4 banks as a result of a $100,000 initial deposit in Bank No. 1. Assume all banks are loaned up.
-Refer to Scenario 25.1. If the required reserve ratio were changed to 10%, total loans of Bank No. 2 will change to
Industrial Relations School
An academic field of study that focuses on the relationships between employers, employees, unions, and the government in the workplace and the labor market.
Legal Treatment
The manner in which a matter is handled in a legal context, including the application of laws, regulations, and judicial rulings.
Legally Sanctioned
Actions or behaviors that are permitted or approved by law, often implying that they are backed by legal authority or enforcement mechanisms.
Injunctions
Court orders that require a party to do or to refrain from doing specific acts, often used in labor disputes to halt strike actions or enforce agreements.
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