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Please help! 3. a. Show graphically the effect of an o]:- market purchase in the market for reserves If federal funds market} when the relevant

Please help!

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3. a. Show graphically the effect of an o]:- market purchase in the market for reserves If federal funds market} when the relevant portion of the demand curve is the downward sloping portion. What is the effect on the federal funds rate? [4 points] b. Show graphically the effect of an o]:- market purchase in the market for reserves {federal JJIdS market] when the relevant portion of the demand curve is the horizontal portion. What is the effect on the federal funds rate? [4 points]

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