Impacts on the mauritian economy, Microeconomics

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Problem:

(a) Define money and briefly explain its core functions.

(b) Explain the relationship between interest rate and price of bonds, illustrate using example.

(d) " The Monetary Policy Committee of the Bank of Mauritius cuts the Key Repo Rate by 50 basis points" (Bank of Mauritius, 19^th March 2012)

Discuss the impacts of the above on the Mauritian economy.

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