macroeconomics

Here is some data on the economy of a certain country. Use this data for all three parts of question 1. M1 Money Supply: $190 Billion Real GDP: $765 Billion Velocity of M1 Money Supply: 4.3 Question 1a: Right now, what is the rate of inflation in that country? How can you tell? Type your answer and calculations here: Page 1 Question 1b: If they want to change the inflation rate to about 23 ( which the Fed says is ideal), can they do so by changing the Money Supply? Assuming the velocity stays the same, about how much should the Money Supply be to get to the inflation rate to 28 Type your answer and calculations here: Question 1c: Give one example of action the Central Bank of that country could take to reduce the money supply. Explain how your example would work. For this question, assume that the Central Bank of that country has tools for Monetary Policy similar to the tools used by the F. O.M.C. in the USA. You don't need specific numbers to 3 xplanation. Page + Type your answer here