Let us pretend that you are the director of monetary affairs for the Fed and you just got authority to pay interest on excess reserves. The initial conditions in the reserve and money markets, before the authority was granted are as follows: rr = .10 C = 200 D = 4000 ER = 00 a} {6 points} Show all of your work. i} Calculate the MB. ii} Calculate the money multiplier. iii} What is the money supply (use mm x MB to calculate this}? b} (4 points} If Rd = 415 - 50 i\