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Figure 5.1
-Which compound is being reduced in the reaction in Figure 5.1?
Required Reserves
The minimum amount of funds that banks are required to hold in reserve against deposits, as mandated by central banks.
Money Supply
The total amount of monetary assets available in an economy at any given time.
Federal Reserve
The central banking system of the United States, responsible for monetary policy, including regulating interest rates and managing the country's money supply.
Required Reserves
Funds that banks must hold in reserve and cannot lend out, either as cash in their vaults or as deposits with a central bank.
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