1. Explain the 4 ways the Federal Reserve would increase the money Supply and explain and graph how this would impact interest rates, consumption, investment, AD, GDP, Prices and

Unemployment. (Make sure to include both the money and the goods graph).

2) Explain the 4 Ways the Fed. would fight inflation. Make sure to discuss and graph how this would impact the Money Supply, interest rates, Consumption, Investment, AD, GDP, Prices and

Unemployment.

3). Calculate and graph (both the money and goods graph) what would happen if the Fed. Increased ER = 100 billion and the RRR = .10.