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I basically konw the answer but I also need explanations on why the answer is correct. If a question requires a numerical answer, provide a

I basically konw the answer but I also need explanations on why the answer is correct. If a question requires a numerical answer, provide a formula that helps to solve it.

Increase or Decrease and WHY?

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sumers consumer ships 1. Increased spending by consun GDP. 2. An increase in stock prices GDP. 3. Lower exports GDP. 4. A period of recession implies unemployment. 5. An increase in the Consumer Sentiment Index suggests confidence. 6. An increase in the CPI implies purchasing power. 7. In general, longer terms to maturity imply interest rates. 8. The sale of securities by the Fed should the supply of money. 9. Decreasing the reserve requirement should lead to in the supply of money. 10. A decrease in excess reserves implies in the ability of banks to lend. 11. An increase in the target federal funds rate suggests that short-term interest rates will 12. An increase in security purchases (open market operations by the Fed) implies in the money supply. 13. The transfer of funds by savers from checking accounts to saving accounts M1 and M2. 14. An increase the federal government's deficit financed by the Federal Reserve bank reserves. 15. Changes in stock prices the supply of money and cial bank reserves. commer- engage Leaming All Rights Reserved. May theo My pressed from the book ander Chapter

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