Gdp based question, Suppose Corporation X deposits

Gdp based question

Assignment Help Macroeconomics

Reference no: EM1370705

1. Suppose Corporation X deposits $80,000.00 in cash in commercial bank Y. If no excess reserves exist at the time this deposit is made and the reserve ratio is 30%, then bank Y can increase the money supply by a maximum of ?

2. If the required reserve ratio is 15% and commercial bankers decide to hold additional reserves equal to 10%, what would be the relevant deposit expansion multiplier??

3. If (1) the current interest rate is 6%, (2) at 6% interest rate a business investment is $3 billion and at 4% business investment would be $5 billion, (3) the MPC is 0.75, and (4) the Fed buys securities and lowers the interest rate by 2%, what would happen to GDP?

Reference no: EM1370705

Questions Cloud

What is protons final kinetic energy : On a frictionless, horizontal air track, the glider oscillates at the end of an ideal spring of force constant 2.52N/cm. The graph in the acceleration of the glider as a function of time. Find the mass of the glider.

Define four imperatives which serve as common approaches : Define four imperatives which serve as common approaches to formulating and implementing international strategies

Disabilities and job accomodations : Sole security officer on a graveyard shift; parking attendant at a rental car company; and heavy equipment operator.

Find out the equation for the velocity at any time : Find the equation for the acceleration of the moving body at any time.

Gdp based question : Suppose Corporation X deposits $80,000.00 in cash in commercial bank Y. If no excess reserves exist at the time this deposit is made and the reserve ratio is 30%,

Describe the copy right issue and how it relates : Describe the copy right issue and how it relates to the research work and Do you have any way to find out that you are not violating the copy right when you write your research work?

Create a serial sequence detector : You are to create a "Serial Sequence Detector". Your design will take in clock, reset, and one-bit data signal. Your design will check input data signal on rising edge of the input clock.

Development of organizational strategies : Show understanding of implementing risk management principles in the development of organizational strategies to handle, monitor and control identified risks

How much time bring the water to boiling point : A 2.80x 10^2 W electric immersion heater is used to heat a cup of water. The cup is made of glass and its mass is 3x10^2 g. It contains 250g of water at 15°C.

User Account

All Pages