Economy, asked by omkardudhane2001, 5 hours ago

The money multiplier is measured as​

Answers

Answered by vazimohd
0

Explanation:

Money multiplier = 1 / R, where R is the reserve ratio

A money multiplier of 20 means that the bank has 20 times as much in deposits as it does in reserves. Each dollar of reserves will theoretically generate $20 of money.

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