Explain total amount of deposits in the banking

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Q. You take $100 you had kept under your mattress and deposit it in your bank account. If this $100 stays in the banking systems as reserves and if banks hold reserve equal to 10 percent of deposits, by how much does the total amount of deposits in the banking system increase? By how much does the money supply increase?

Q. In the u.s. today, money includes which of the following items federal reserve bank notes in citibank's cash machines

 

Reference no: EM1351973

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