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    Kanyk's Avatar
    Kanyk Posts: 1, Reputation: 1
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    #1

    Dec 17, 2008, 05:33 AM
    Purchase of Fed in the simple deposit expansion model
    In the simple deposit expansion model, if the Fed purchases $100 worth of bonds from a bank that previously had no excess reserves, by how much deposits in the banking system can potentially increase?
    stevetcg's Avatar
    stevetcg Posts: 3,693, Reputation: 353
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    #2

    Dec 17, 2008, 06:35 AM

    You may want to check the homework help section of AMHD.
    marcvinci's Avatar
    marcvinci Posts: 1, Reputation: 1
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    #3

    Nov 9, 2010, 08:31 AM
    $100

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