MACROECONOMICS FOR TODAY
MACROECONOMICS FOR TODAY
10th Edition
ISBN: 9781337613057
Author: Tucker
Publisher: CENGAGE L
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Chapter 15, Problem 9SQP
To determine

Reason to checkable deposits of $50 million that cannot generate maximum of $500 million.

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(Figure: Good Y and Good X) Suppose the budget constraint shifted from constraint 2 to constraint 1. What could have caused this change? Quantity of good Y 18 16 14 Budget constraint 2 12- 10 8 Budget constraint 1 6 4 2 0 2 4 6 8 10 12 14 16 18 20 Quantity of good X an increase in income and an decrease in the price of good X relative to that of good Y a decrease in income an decrease in the price of good X and no change in the price of Y a decrease in income and an increase in the price of good X relative to that of good Y an increase in income a decrease in the price of good X relative to that of good Y
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