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Business, 26.07.2019 01:40 preservations

Suppose in the republic of sasquatch that the regulation of banking rested with the sasquatchian congress, including the determination of the reserve ratio. the central bank of sasquatch is charged with regulating the money supply by using open market operations. in september 2015, the money supply was estimated to be 70 million yetis. at the same time, bank reserves were 8.4 million yetis and the reserve requirement was 12 percent. the banking industry, being "loaned up," lobbied the congress to cut the reserve ratio. the congress yielded and cut the reserve requirement to 10 percent. the potential impact of this action coulda. decreaseb. increasethe money supply by ? nothingmillion yetis.(roundyour response to one decimalplace.)suppose the central bank decided that the money supply should not be increased. what countermeasure could it take to prevent the congress from expanding the money supply?

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