Let r=.05 be the reserve rate. Which one of the following is the money multiplier? a. 10 * .05 b. 1/0.05^2 c. 0.05^2 d. 1/0.05

asked Nov 15, 2018 105k views

4 votes

Let r=.05 be the reserve rate. Which one of the following is the money multiplier?

a. 10 * .05
b. 1/0.05^2
c. 0.05^2
d. 1/0.05

7.6k points

Please log in or register to add a comment.

4 votes

The formula for the money multiplier is :
1/ Reserve rate
so, the answer would be :
1/0.05

Danny C answered Nov 15, 2018

8.4k points

3 votes

APEX!!!!!!!!!!!!!!!!!!!!!!!!!

1/0.05

Brandin answered Nov 21, 2018

7.1k points

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

8.8m questions

11.4m answers