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( 2 5 points ) In a study of the influence of financial institutions on bond interest rates in Germany, quarterly data over a period
points In a study of the influence of financial institutions on bond interest rates in
Germany, quarterly data over a period of years were analyzed. The postulated model
was
where
change over the quarter in the bond interest rates
change over the quarter in bond purchases by financial institutions
change over the quarter in bond sales by financial institutions
The estimated regression coefficients were as follows:
Interpret these estimates.
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