An Increase in the Currency Drain Ratio

question 312

Multiple Choice

An increase in the currency drain ratio

• A)increases the size of the money multiplier.
• B)decreases the size of the money multiplier.
• C)increases the deposits in all banks.
• D)decreases the size of the monetary base.
• E)increases the size of the monetary base.

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Definitions:

Co-op

A cooperative, which is an organization owned and operated by its members who share the benefits.

Cooperative Corporation

A business entity owned and operated by a group of individuals for their mutual benefit, where profits and earnings are distributed among the members.

Shares

Represents units of ownership in a company or financial asset, giving the holder a portion of the corporation's earnings and assets.

Gross Income

The total income received before any deductions or taxes are subtracted.