Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

11. Suppose you decide to withdraw 1000 cedis from your current account and use it to uybank certificate of deposit (CD), Briefly explain how this

11. Suppose you decide to withdraw 1000 cedis from your current account and use it to uybank certificate of deposit (CD), Briefly explain how this will affect M1 and M212. Suppose you have 2000 in currency in your closet in your bedroom. One day you decide to deposit the money in a current account. Briefly explain how this will affect M1 and M213. State the immediate effect of each of the following actions on Ml and M2:a. Jon writes his plumber a cheque for 300. The plumber takes the cheque to the bank keeps 100 cedis in cash, and deposits the remainder in his savings account.b. Susanna withdraws 100 in cash from her savings account.C. Juliana deposits the 1000 from her CD in a current account .10.Briefly explain weather each of the following is counted in M1a. The coins in your pocketb. The funds in your curent accountC. The funds in your savings accountd. Your GCB MasterCard2. In a pure barter withJ goods for exchange, how many possible exchange ratiosarethere? Given that j= 3200, find the possible exchange ratios available.7. Describe the narrow and broad measures of money supply8 Give the main difference between the MI and M2 definitions of the money supply-Discuss the definitions of the money supply used in Ghana

image text in transcribed
14. Consider the official definition of the money supply in the Ghanaian context, a. What are the components of MI money supply? b. Which of the components of MI is legal tender? c. What near monies are included in M2 money supply? d. What distinguishes the M2 and M2+ money supplies? 15. The following table shows the monetary survey of Ghana at the end of 2013. Figures are in millions of Ghana cedis. T Monetary Indicators of Ghana as at December 2013 Currency outside banks $5499.68 Demand deposits 7402.84 Savings and Time deposits 7789.47 Foreign currency deposits 6245.03 a. How much are M1, M2, and M2+? b. How much is the legal tender? c. How much larger is MI than quasi money? d. How much larger is M2 than MI? ea e. How much larger is M2+ than M2? TI ar

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International Political Economy

Authors: Thomas Oatley

6th Edition

1138490741, 9781138490741

More Books

Students also viewed these Economics questions

Question

1. Why do we trust one type of information more than another?

Answered: 1 week ago