Compute the impact on the money multiplier of an increase in the currency-to-deposit ratio from 10 percent to 12 percent when the reserve requirement is 8 percent of deposits, and banks’ desired excess reserves are 3 percent of deposits.
When desired currency holdings = 10% of deposits, m = __________
When desired currency holdings = 12% of deposits, m = __________
Please round answers to the nearest hundredth (2 decimal places). If possible, please explain the calculation.