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If the Required Reserve Ratio Is 10 Percent,currency in Circulation

question 181

Multiple Choice

If the required reserve ratio is 10 percent,currency in circulation is $400 billion,checkable deposits are $800 billion,and excess reserves total $0.8 billion,then the money supply is ________ billion.


Definitions:

Blood Pressure

The force exerted by circulating blood on the walls of blood vessels, often measured as an indicator of heart health.

Cardioregulatory Center

A region of the brain, specifically in the medulla oblongata, that regulates heart rate and blood pressure by coordinating the autonomic nervous and the cardiovascular systems.

Vasodilator Substance

Chemicals that relax and expand blood vessels, increasing blood flow and decreasing blood pressure.

Epinephrine

Hormone (amino acid derivative) similar in structure to the neurotransmitter norepinephrine; major hormone released from the adrenal medulla; increases cardiac output and blood glucose levels; also called adrenaline.

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