Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question 7 (5 points) Saved A commercial bank has actual reserves of $10,000 and checkable-deposit liabilities of $48,000, and the required reserve ratio is 0.15.

image text in transcribed
image text in transcribed
Question 7 (5 points) Saved A commercial bank has actual reserves of $10,000 and checkable-deposit liabilities of $48,000, and the required reserve ratio is 0.15. This bank can loan out $ at the moment. Your Answer: 40800 Answer Question 8 (5 points) = ' Listen b You are given the following information about aggregate demand at the existing price level for an economy: (1) consumption = $500 billion, (2) investment = $50 billion, (3) government purchases = $100 billion, and (4) exports = $20 billion, imports = $40 billion. If the full-employment level of GDP for this economy is $700 billion. Marginal Propensity to Consume (MPC) of the economy is 0.5. How much government purchases would be closing the GDP-gap here? Explain your answer, and show your calculation. Paragraph V B . Star Planethood.mp4 3010 FInal....docx A _ A Show All Failed - Network error

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Economics For Environmental Studies A Strategic Guide To Micro-And Macroeconomics

Authors: Alfred Endres, Volker Radke

2012th Edition

364231192X, 978-3642311925

More Books

Students also viewed these Economics questions