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If the reserve requirement is 8% and the central bank increases quantity of reserves in the banking system by $12.5 billion, the money supply...
If the reserve requirement is 8% and the central bank increases quantity of reserves in the banking system by $12.5 billion, the money supply increases ( in billions of dollars) by:
a. 12.5
b.156.25
c.100.00
d.125.60