Question

In the model of the money supply process, the depositor's role in influencing the money supply is represented by:_______

Answer 1

In the model of the money supply process, the depositor's role in influencing the money supply is represented by: "the currency holdings."

What is money supply process?

The money supply is the total amount of currency and liquid assets inside a country's economy at the time measured. Cash or deposits which can be utilized virtually as quickly as cash are roughly included in the money supply.

Some key features regarding the money supply process are-

• Economists study the money supply and devise strategies to control interest rates and increase or decrease the quantity of money circulating in the economy.
• Because of the potential effects of the supply of money on market prices, inflation, as well as the business cycle, private and public sector study is carried out.
• The Federal Reserve policy has become the most significant factor in the money supply in the United States. Money supply is often referred to as money stock.

To know more about the money supply, here

https://brainly.com/question/3625390

#SPJ4