∆M = 100 1−(1− f) = 100 f = 1000. In this video I explain the reserve requirement, the money multiplier, and how money is created.Calculate the money supply, the currency deposit ratio, the excess reserve ratio, and the money multiplier. b. This video explains the key formula and approach to calculating the money multiplier in the economy with leakages. How to Calculate the Money Multiplier ; Step 1: Identify the reserve ratio. The money multipliers are the same because they equate changes in the money supply to changes in the monetary base times some multiplier. Complete the table below demonstrating your knowledge of bank reserves and the power of the money multiplier.