Show what effect the contractionary policy

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Reference no: EM1361092

the federal reserve conducts contractionary monetary policy through open marker operations.

a) diagram the fed's balance sheet (T-account)to show what happens to its assets and liabilities.

b) diagram the reserve market and show the change in this market from the policy change.

c) diagram the output market with the appropriate starting position and show what effect the contractionary policy would have in the output market?

Reference no: EM1361092

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