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The table given below shows the assets and liabilities of the National Bank. Assume that this is the only bank in the economy.
Table 13.2
-Refer to Table 13.2. If the Fed increased the reserve requirement from 10 percent to 25 percent, the money supply in the whole banking system could now potentially:
Corresponding Body Part
A specific region or organ of the body that relates to, or is associated with, a particular function or activity.
Homeopathy
A 200-year-old system of medicine based on the Law of Similars. This means that if a dose of a substance can cause a symptom, that same substance in minuscule amounts can cure the symptom.
Law of Similars
A principle in homeopathy suggesting that substances causing symptoms in healthy people can treat similar symptoms in sick people.
Symptom
A physical or mental feature that is regarded as indicating a condition of disease, particularly such a feature noticed by the patient.
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