Which of the following accurately describes how lowering the required reserve ratio increases the money supply?
O A. When the required reserve ratio is lowered, banks make less profit
on money loaned out.
B. When the required reserve ratio is lowered, the inflation rate goes
up and people spend less money.
C. When the required reserve ratio is lowered, banks charge lower
interest rates that make loans more affordable.
D. When the required reserve ratio is lowered, banks can loan out
more money