Macroeconomics
Macroeconomics
13th Edition
ISBN: 9780134744452
Author: PARKIN, Michael
Publisher: Pearson,
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Chapter 8, Problem 26APA

(a)

To determine

Determine the changes in the interest rate, quantities of currency, and M2 occurred between 2006 and 2016.

(b)

To determine

Determine how the change in the interest rate changed the opportunity cost of holding money and using cash in transactions. 

(c)

To determine

Determine the changes in use of cash and cards when an outbreak of inflation took interest rates to 10% per year.

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