Garrett Hart

03/11/2024 · Escuela secundaria superior

Scenario \( 29-7 \) The Monetary Policy of Jaune is controlled by the country's central bank known as the Bank of Jaune. The local unit of currency is the Jaunian dollar. Aggregate banking statistics show that collectively the banks of Jaune hold \( \$ 220 \) million of required reserves, \( \$ 55 \) million of excess reserves, have issued \( \$ 5,500 \) million of deposits, and hold \( \$ 440 \) million of Jaunian Treasury bonds. Jaunians prefer to use only demand deposits and so all money is on deposit at the bank. Refer to Scenario 29-1. Assuming the only other thing Jaunian banks have on their balance sheets is loans, what is the value of existing loans made by Jaunian banks?