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Assume the following: i. The public holds no currency. ii. The ratio of reserves to deposits (0) is 0.08. iii. The deman
Posted: Sun Jul 03, 2022 6:56 am
by answerhappygod
- Assume The Following I The Public Holds No Currency Ii The Ratio Of Reserves To Deposits 0 Is 0 08 Iii The Deman 1 (45.42 KiB) Viewed 11 times
Assume the following: i. The public holds no currency. ii. The ratio of reserves to deposits (0) is 0.08. iii. The demand for money is given by M = $Y(0.85 -3.2i). Initially, the monetary base (H) is $65 billion, and nominal income ($Y) is $5,300 billion. Calculate the demand function for central bank money: H² = ( )x()×()