POI"!- wwrwn D0 in Eta/{L FNB 100 - Professor Early ASSIGNMENT 15 Question 1 Fully explain the plight of the Savings and Loans Associations (58) in the US during the 19805. Include In your discussion: (a) The main market (product) 58d. served; {bl A numerical example illustrating the 58d. net interest margin squeeze; in] What Regulation changes that contributed the industry's issues and how the changes impacted 5&Ls (d) Other factors. Problem 1: Expansion of the Money:r Supply (Use the Money Muitiplierto calculate the impact). a) lfthere are no excess reserves in the banking system and $1 billion in new reserves are created by the Federal Reserve (i.e., buy US Government securities), what should happen to the supply of money ifthe reserve requirement is 10%? bl Would your answer be different ifthe reserve requirement was 10% instead of 15%? Show calculations