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Suppose that in year 2008, the money supply is $400 billion, nominal GDP is 9 trillion, and real GDP is $4 trillion.
(a) What is the price level? What is the velocity of money?
(b) Suppose the velocity is constant and the economy's output of goods and services rises by 5 percent each year. What will happen to nominal GDP and the price level next year if the Fed keeps the money supply constant?
(c) What money supply should the Fed set in year 2009 if it wants to keep the price level stable?
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which revealed that the buyers were, on average, willing to pay a premium of $295 for an IBM computer.
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A new Taurus bought in 1994 cost $18,680 and it could have been sold as used in 1995 for $12,600.
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can you suggest better methods of making the adjustments for the stated purpose. llustrate what general guide can you suggest as to elucidate how much price should be increased
Every alternative has a value for bill as described in the subsequent. Illustrate what is bill's prospect cost for attending class
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