How is money created how does fractional-reserve banking, Business Economics

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How is money created how does fractional-reserve banking

How is money created? How does fractional-reserve banking work? What is the monetary base? What is the currency ratio. Understand Friedman’s equation for explaining changes in the money supply. What is the currency ratio and how does it effect the money supply? What factors determine the currency ratio? What factors determine the reserve ratio? Why did the money supply drop like a stone from 1929-33?

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Business Economics: How is money created how does fractional-reserve banking

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