Question:
The currency to deposit ratio of an economy is 0.2 and the reserve to deposit ratio is 0.1. The value of the money multiplier is
The currency to deposit ratio of an economy is 0.2 and the reserve to deposit ratio is 0.1. The value of the money multiplier is
Updated On: Mar 11, 2024
- 0.25
- 0.33
- 3
- 4
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The Correct Option is D
Solution and Explanation
The correct answer is (D) : 4.
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