Question # One: After we study the Bonds Market, study the table below and fill in the blanks in it The Change Effect on Supply or on The Direction of shift in the The Effect on the effect of Demand? Curve PB An Increase in Government deficit An increase of Liquidity of Other Assets Inflation is Expected to Decrease The Economy is in Recession A decrease in the Risk of Other Assets Question # Two: After we study the Bonds Market, draw the demand and supply for bonds on the same graph. Determine the level of the equilibrium price of bonds. If the Marginal Propensity to Save increases, show in words and on the graph what happens in the bond market (especially on the changes in equilibrium price of bonds and the equilibrium interest rate). Question # One: After we study the Bonds Market, study the table below and fill in the blanks in it The Change Effect on Supply or on The Direction of shift in the The Effect on the effect of Demand? Curve PB An Increase in Government deficit An increase of Liquidity of Other Assets Inflation is Expected to Decrease The Economy is in Recession A decrease in the Risk of Other Assets Question # Two: After we study the Bonds Market, draw the demand and supply for bonds on the same graph. Determine the level of the equilibrium price of bonds. If the Marginal Propensity to Save increases, show in words and on the graph what happens in the bond market (especially on the changes in equilibrium price of bonds and the equilibrium interest rate)