The Table Given Below Records the Amount of New Deposits

question 38

Multiple Choice

The table given below records the amount of new deposits, the value of required reserves, and total amount loaned out by Banks 1, 2, and 3. Table 12.3
Refer to Table 12.3.What is the total increase in the money supply created in the banking system as a result of the initial deposit of $10, 000 in Bank 1?

• A)$10, 000
• B)$27, 100
• C)$100, 000
• D)$90, 000
• E)$20, 000

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Definitions:

McWorld

A term referring to the globalization of markets, where cultural, economic, and lifestyle homogenization occurs globally.

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A social movement that opposes the global integration of economies, arguing it leads to the erosion of local cultures, exploitation of workers, and environmental degradation.

Regionalization

The process of dividing an area into smaller regions, often to enhance administrative efficiency or reflect socio-cultural distinctions.

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An ideology or perspective advocating for the recognition and appreciation of diverse cultures, ethnicities, and identities, emphasizing global interconnectedness and mutual respect among people.