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Other Things the Same, If Banks Decide to Hold a Smaller

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Other things the same, if banks decide to hold a smaller part of their deposits as excess reserves, the money supply will fall.


Definitions:

Specific Targets

Clearly defined goals or objectives that are intended to be achieved within a set timeframe.

Collective Identity

A shared sense of belonging to a group that is characterized by common interests, values, traditions, or goals.

Organizational Culture

Organizational culture is a shared set of beliefs and values within an organization.

Shared Actions

Activities undertaken together by a group of people or organizations towards a common goal.

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