Suppose there is a world in which there is no currency and


Suppose there is a world in which there is no currency and depository institutions issue only transactions deposits and desire to hold no excess reserves. The required reserve ratio is 25%. The central bank sells $0.94 billion in government securities. This results in a _________ in money supply of $___billion.

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Business Economics: Suppose there is a world in which there is no currency and
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