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Explain the meaning of surplus units and deficit units

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Reference no: EM132384047

1) Explain the meaning of surplus units and deficit units. Provide an example of each. Which type of financial institutions do you deal with? Explain whether you are acting as a surplus unit or a deficit unit in your relationship with each financial institution.

Please provide examples of a deficit unit and a surplus unit

2) How is money supply growth affected by an increase in the reserve requirement ratio?

Reference no: EM132384047

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