What is money mutiplier
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Posted by Neha Pant 7 years ago
- 3 answers
Gaurav Seth 7 years ago
Money multiplier measures the amount of money that the banks are able to create in the form of deposits with every unit of money, it keeps in reserves.
It is calculated as:
Money Multiplier = 1/Legal Reserve Ratio
Pragya Tyagi 7 years ago
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Pragya Tyagi 7 years ago
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