Real-World Accuracy of the Money Multiplier Can Be Affected By

question 100

Multiple Choice

Real-world accuracy of the money multiplier can be affected by:

• A) the amount of loans provided by nonbanks.
• B) the way the public divides its holding of M1 between currency and certificates of deposit.
• C) the willingness of banks to loan excess reserves.
• D) all of the above.

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