What will be the equilibrium interest rate
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An interest rate of 9 percent per year, $12 million at an interest rate of 8 percent per year, and so on. If the supply of loanable funds is fixed at $15 million, what will be the equilibrium interest rate?
For each of the following situations, use the IS-LM-FX model we learned in class to graphically illustrate the effects of the shock. State the effect of the shock on the following variables: Y, i, E, C, I, TB for each case below. Assume that the g
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In each case, assume that you always have the option to keep extra money in the bank at a 10% rate of interest, with no fear of losing any of this money. For each case, calculate the minimum rate of interest, and, therefore, the risk premium, at
On December 31, 2010, Albacore Company had 300,000 shares of common stock issued and outstanding. Albacore issued a 10% stock dividend on June 30, 2011. On September 30, 2011, 12,000 shares of common stock were reacquired as treasury stock. What i
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