Does the money multiplier show how much loans will change as a result of a change in reserves?

Yes, the money multiplier illustrates how much the money supply can increase as a result of a change in reserves held by banks. It represents the ratio of the total amount of money that can be created in the banking system from a given amount of reserves. A higher multiplier indicates that a small change in reserves can lead to a larger change in loans and overall money supply. However, the actual change in loans also depends on factors like borrower demand and banks' willingness to lend.