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hola! This is my blog for AP-Economics! hopefully I can provide you with the needed resources to pass your next test! And hopefully i do a better job than your calculus teacher! :D

Sunday, March 29, 2015

Unit 4: (3/5/2015)

Three Types of Multiple Deposit Expansion:
Type 1: Calculate the initial change in excess reserves. Also known as the amount a single bank can loan from the initial deposit.

Type 2: Calculate the change in loans in the banking system

Type 3: Calculate the change in money supply. (Sometimes Type 2 and 3 will have the same result)                No FED involvement

Type 4: Calculate the change in demand deposits

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