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If the currency drain increases, how can the Fed adjust the monetary base to offset the e

 If the currency drain increases, how can the Fed adjust the monetary base to offset the effect on the quantity of money?

 

58) What is the money multiplier and what affects its size?

 

59) Suppose the Fed buys government securities from a commercial bank. Why is there a multiplier effect on the quantity of money?

Dec 10 2019 View more View Less

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