Explain how shocks to the bond market affect money market

Reference no: EM133281672

Money and Banking Assignment -

Description - Consider the following shocks to the bond market: (A) an increase in perceived risk, and (B) an increase in the government deficit. Explain how the above shocks to the bond market affect the money market. Show your findings graphically, making sure that all is labeled correctly.

Reference no: EM133281672

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