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Author Question: Assume that the current one-year rate is 5 and the two-year rate is 7. Given this information, the ... (Read 106 times)

corkyiscool3328

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on: Jun 30, 2018
Assume that the current one-year rate is 5 and the two-year rate is 7. Given this information, the one-year rate expected one year from now is
 
  A) 5.
  B) 6.
  C) 7.
  D) 9.
  E) 12.

Question 2

Which of the following will cause the money multiplier to become smaller?
 
  A) an increase in high powered money
  B) a decrease in the ratio of reserves to checkable deposits
  C) an increase in the public's preference for checking deposits as opposed to holding currency
  D) a reduction in high powered money
  E) none of the above


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Jevvish

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Reply #1 on: Jun 30, 2018
Answer to Question 1

D

Answer to Question 2

E


corkyiscool3328

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  • Posts: 539
Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)

cpetit11

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

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