Assume that the banking system has total reserves of $200 billion. Assume also that required reserves are 12.5 percent of checking deposits and that banks hold no excess reserves and households hold no currency. The money multiplier is ................... The money supply is $ ........................billion. Suppose the Fed raises required reserves to 16 percent of deposits. The new money multiplier is ................... , and the money supply Increases/Decreases to $ .................billion.