A standard "money demand" function used by macroeconomists has the form In(m) = Bo + ByIn(GDP) + B2R, Where m is the quantity of (real) money, GDP is the value of (real) gross domestic product, and R is the value of the nominal interest rate measured in percent per year. Supposed that B, = 2.28 and fz = - 0.09. What is the expected change in m if GDP increases by 1%? The value of m is expected to increase by approximately 2 %. (Round your response to the nearest integer) What is the expected change in m if the interest rate increases from 1% to 6%? The value of m is expected to decrease by approximately 45 %. (Round your response to the nearest integer)

A standard "money demand" function used by macroeconomists has the form In(m) = Bo + ByIn(GDP) + B2R, Where m is the quantity of (real) money, GDP is the value of (real) gross domestic product, and R is the value of the nominal interest rate measured in percent per year. Supposed that B, = 2.28 and fz = - 0.09. What is the expected change in m if GDP increases by 1%? The value of m is expected to increase by approximately 2 %. (Round your response to the nearest integer) What is the expected change in m if the interest rate increases from 1% to 6%? The value of m is expected to decrease by approximately 45 %. (Round your response to the nearest integer)

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Description: A standard "money demand" function used by macroeconomists has the formIn(m) = fo + B,In(GDP) + 62R,Where m is the quantity of (real) money, GDP is the value of (real) gross domestic product, and R is the value of the nominal interest rate measured

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Contingency Table

A contingency table can be defined as the visual representation of the relationship between two or more categorical variables that can be evaluated and registered. It is a categorical version of the scatterplot, which is used to investigate the linear relationship between two variables. A contingency table is indeed a type of frequency distribution table that displays two variables at the same time.

Binomial Distribution

Binomial is an algebraic expression of the sum or the difference of two terms. Before knowing about binomial distribution, we must know about the binomial theorem.

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A standard "money demand" function used by macroeconomists has the form
In(m) = fo + B,In(GDP) + 62R,
Where m is the quantity of (real) money, GDP is the value of (real) gross domestic product, and R is the value of the nominal interest rate measured in percent
per year. Supposed that B, = 2.28 and B2 = - 0.09.
What is the expected change in m if GDP increases by 1%?
The value of m is expected to increase by approximately 2 %.
(Round your response to the nearest integer)
What is the expected change in m if the interest rate increases from 1% to 6%?
The value of m is expected to decrease by approximately 45 %.
(Round your response to the nearest integer)

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A standard "money demand" function used by macroeconomists has the form In(m) = Bo + B, In(GDP) + B2R, Where m is the quantity of (real) money, GDP is the value of (real) gross domestic product, and R is the value of the nominal interest rate measured in percent per year. Supposed that B, = 2.15 and B, = -0.06. %3D What is the expected change in m if GDP increases by 3%? The value of m is expected to V by approximately%. (Round your response to the nearest integer) What is the expected change in m if the interest rate increases from 1% to 9%? The value of m is expected to ▼ by approximately %. (Round your response to the nearest integer)
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