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ya-yaa ya-yaa
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A year ago
Scenario: The following figure shows the federal funds market. Assume that the market of reserves is in equilibrium at point (R0, i0).




Refer to the scenario above. If the Fed uses a contractionary monetary policy, the new equilibrium quantity of reserves is ________ and the new federal funds rate is ________.

▸ R1; i0

▸ R2; i2

▸ R1; i1

▸ R2; i0
Textbook 
Macroeconomics

Macroeconomics


Edition: 3rd
Authors:
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channy40channy40
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A year ago
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ya-yaa Author
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A year ago
Just got PERFECT on my quiz
Brownr40
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Helped a lot
Tim0301
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I appreciate what you did here, answered it right Smiling Face with Open Mouth
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