Which from the following variables is most likely to be an intermediate target of monetary policy? (Check all that apply.)O A. Discount rateO B. Open market purchasesC. Real GDP growthO D. Monetary baseO E. Federal funds rateO F. Unemployment rateG. Nonborrowed reservesO H. M2M1O O O O O

Which from the following variables is most likely to be an intermediate target of monetary policy? (Check all that apply.) A. Discount rate B. Open market purchases O C. Real GDP growth O D. Monetary base O E. Federal funds rate O F. Unemployment rate O G. Nonborrowed reserves O H. M2 OI. M1

Which from the following variables is most likely to be an intermediate target of monetary policy? (Check all that apply.) A. Discount rate B. Open market purchases O C. Real GDP growth O D. Monetary base O E. Federal funds rate O F. Unemployment rate O G. Nonborrowed reserves O H. M2 OI. M1

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Which from the following variables is most likely to be an intermediate target of monetary policy? (Check all that apply.)
O A. Discount rate
O B. Open market purchases
C. Real GDP growth
O D. Monetary base
O E. Federal funds rate
O F. Unemployment rate
G. Nonborrowed reserves
O H. M2
M1
O O O O O

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Bank A:Reserves on hand $38,000Deposit in the Fed $30,000US government bonds $12,000Checking account balances $120,000Savings account balances $25,000Bank B:Reserves on hand $50,000US government bonds $7500Savings account balances $20,000Checking account balances $100,000 In addition, people in this economy hold $8800 in cash, and all banks have the same reserve requirements we've used all semester. Calculate the (economy-wide) currency ratio, carefully following all numeric instructions. Do not convert the ratio into percent. In other words, if you get k of 0.99, enter only 0.99 in the blank.
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