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Components of m1 relative to income

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How have the components of M1 relative to income (GDP) changed over time and why? Use the nominal levels of the components of M1 = currency (CURRSL) + demand deposits (DEMDEPSL) to construct a graph of their ratios to GDP (income) from 1947-present (use LINE 1 and LINE 2). Convert both ratios to a percent: (CURRSL/GDP) *100 and (DEMDEPSL/GDP) *100.

Reference no: EM133077868

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