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FED (Federal Reserve Bank), buys a $10,000 bond from bank. What is the potential impact on MS (Monsy Supply)? FED. buys a $10,000 bond from

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FED (Federal Reserve Bank), buys a $10,000 bond from bank. What is the potential impact on MS (Monsy Supply)? FED. buys a $10,000 bond from bank customer. What is the impact on MS? Is there a difference between 2 and 3 ? Why? Assume money supply rule. Growth in Q is 5%; growth in V is 2%. How much should the MS grow to keep P constant? Assume MV = P

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