Economics · Indian Economy

What is the consequence of an increase in the 'Money Multiplier' in an economy?

Verified Solution4 OptionsUpdated: October 2026👁️1 View

1Increase in the monetary base
2Increase in the velocity of money
3Increase in the total money supply✓
4Increase in the demand for money

Correct answer

Increase in the total money supply

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What is the consequence of an increase in the 'Money Multiplier' in an economy?

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