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Changes in Monetary Policy
Assume that the Bank of Ecoville has the following balance sheet and the Fed has a 10% reserve requirement in place:
Balance Sheet for Ecoville International Bank
ASSETS
LIABILITIES
Cash
$33,000
Demand Deposits
$99,000
Loans
66,000
Required:
Now assume that the Fed lowers the reserve requirement to 8%.
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Martha Stewart Living Omnimedia and Hain Celestial Group have hired you to develop a marketing plan for the purpose of expanding the distribution of their "Martha Stewart Clean" line of eco-friendly cleaning products to the regions of Asia
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