Suppose the required reserve ratio on deposits is 1 the, Financial Management

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Suppose the required reserve ratio on deposits is 1 the

Suppose the required reserve ratio on deposits is .1, the excess reserve ratio is .1, the currency ratio is .6, the M1 money supply is $20000 and the amount that banks are borrowing from the Fed is $1000. How much is the nonborrowed monetary base? Show how you computed your answer.

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Financial Management: Suppose the required reserve ratio on deposits is 1 the

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