Problem
1. Determine if the following changes affect M1 and/or M2:
a. an increase in savings deposits
b. a decrease in credit-card balances
c. a decrease in the amount of currency in circulation
d. the conversion of a savings account into a checking account
2. What is the simple money multiplier if the required reserve ratio is 15%? If it is 12.5%?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.