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The following occur: ( 1 ) Canton Federal Bank buys $ 2 5 0 m of gov t bonds ( securities ) from the FED,
The following occur: Canton Federal Bank buys $m of govt bonds securities from the FED, Community Bank takes out a $m discount loan from the FED, a m check is written on a checking account at Potsdam Savings Bank and deposited in a checking account at Canton Federal Bank, and Massena State Bank lends $m of reserves to Potsdam Savings in the Federal Funds market. Show ALL of these actions on Canton Federal Banks balance sheet, Community Banks balance sheet, Potsdam Savings Banks balance sheet, Massena State Banks balance sheet, and the FEDs balance sheet. What will be the net effect on the monetary base of all of these actions? points
The following occur: Canton Federal Bank buys $m of govt bonds securities from the FED, Community Bank takes out a $m discount loan from the FED, a m check is written on a checking account at Potsdam Savings Bank and deposited in a checking account at Canton Federal Bank, and Massena State Bank lends $m of reserves to Potsdam Savings in the Federal Funds market. Show ALL of these actions on Canton Federal Banks balance sheet, Community Banks balance sheet, Potsdam Savings Banks balance sheet, Massena State Banks balance sheet, and the FEDs balance sheet. What will be the net effect on the monetary base of all of these actions? points
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