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How do economists and bankers determine how much the money supply will increase with each deposit?

1 Answer

2 votes
They can look at the revenue receipt.

Money supply refer to the entire liquid instruments that a country or an entity have at a specific period of time. By looking at the revenue receipt, they can determine whether the revenue will be in the form of liquid instrument such as cash , short term investment, etc or in the form of receivable
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User Woden
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