Question
Please help with these questions. Hurry!!!! 1. Assuming that the following data describe the condition of the banking system: TotalReserves:$90 billion Transactionsdeposits:$900 billion Cash held
Please help with these questions. Hurry!!!!
1.
Assuming that the following data describe the condition of the banking system:
TotalReserves:$90 billion
Transactionsdeposits:$900 billion
Cash held bypublic:$100 billion
Given the reserve ratio, how large would the money supply be if the banks fully utilized their lending capacity?
2.In your opinion, are the stimulus checks a must to bail out the economy from the downturn by COVID-19 pandemic? What are the impacts of the stimulus checks on the unemployment rate? Please state your answer in the language of economics and indicate which macroeconomic model (classical, Keynesian, monetarist, or rational expectation) to support your answer.
3.After more than 70% of population take the COVID-19 vaccines, which industry will be expected to recover quickly in the U.S. economy to increase the GDP significantly? Please explain briefly in own words.
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