What is the correlation coefficient between the CPI core inflation rate and the BAA-AAA interest rate spread for the years 1961-2017?
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Assume that any money lent by a bank is always deposited in a checkable deposit and that the reserve ratio is 10%. The Fed purchases $100 million in…

Assume that any money lent by a bank is always deposited in a checkable deposit and that the reserve ratio is 10%. The Fed purchases $100 million in Treasury bills. What is the effect on the value of checkable deposits at the maximum

 

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