Banks engage in regulatory arbitrage by

Part II: REQUIRED Monetary Aggregate Problem @ 20 points. Show all work for credit and carry all fractions to at least five decimal places. Work must be legible for credit. Select yes if you understand the instructions, and continue the exam.

Suppose your payroll check is directly deposited to your checking account. Everything else held constant, total reserves in the banking system ________ and the monetary base ________.

10-point question Explain how the Fed is a “highly” independent central bank. Be sure to discuss the structural and practical factors that contribute to its independence.

Everything else held constant, a decrease in checkable deposit balances will mean ________ in the M2 money multiplier and ________ in the M2 money supply.

You notice that the patient’s secretions have become thicker and more difficult to suction since replacing the ventilator humidifier with a HME.  The respiratory therapist should recommend which of the following?

The respiratory therapist receives an order for postural drainage on a patient to mobilize secretions from the anterior segment of the right upper lobe o the lung.  How should the patient be positioned for the lung to drain most effectively?

The President of the United States appoints the

A physician wants to paralyze an agitated, combative asthmatic patient who is being mechanically ventilated.  Which of the following would be most appropriate drug to utilize at this time?

5-point question Given the following 4 scenarios:      1. A contract interest rate of 5.5% and the expected inflation rate was .5%. 2. A contract interest rate of 12% and the expected inflation rate was 4.5%. 3. A contract interest rate of 7.5% and the expected inflation rate was 6%. 4. A contract interest rate of 9% and the expected inflation rate was 5%. a) Indicate which ex ante scenario would have been best for the borrower and explain why it is best for the borrower. b) With an ex post actual inflation rate of 1%, indicate which scenario would have been best for society and explain why it is best for society of the four options.