Bank reserves are $250, the public holds $200 in currency, and the desired reserve-deposit ratio is 0.25. Find deposits and the money supply.

Explanation:

Deposits can be calculated by;

= Bank reserves / Reserve - deposit ratio

= 250/0.25

= $1,000

The Money Supply;

= Deposits + Money held by public

= 1,000 + 200

= $1,200

hi,

henry is an economist and wants to understand the relationship between inflation and consumer spending habits. for his research, he needs the consumer price index for 2014 and the inflation rate. based on the prices of goods given, what will he find to be the cpi and inflation rate for 2014? assume that a consumer’s basket for three consecutive years consists of the following:

you dont privide answer choices.

answer - 15% of a inflatation rate is 15% less in cpi

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