For Any Value of the Required Reserve Ratio (RRR),the Demand

question 59

Multiple Choice

For any value of the required reserve ratio (RRR) ,the demand deposit multiplier is

• A) 1/RRR
• B) 1 - (1/RRR)
• C) RRR multiplied by the change in reserves
• D) 1 - RRR
• E) (1/RRR)-1

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