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(a) Find the equilibrium interest rate when money demand equals Md= $Y (0.30 - i) and the money supply M = $50 and $Y =
(a) Find the equilibrium interest rate when money demand equals
Md= $Y (0.30 - i) and the money supply M = $50 and $Y = 200
(b) If the central bank wants the interest rate to equal .03, what specific action should it take?
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