Given the following information:Savings deposits = $1845b   …

Given the following information:Savings deposits = $1845b                                                       Demand Deposits = $760bRequired reserve ratio = 10%                                                  Currency in circulation = $520.0bVault Cash = $11b                                                                      Household money market mutual fund = $1753.3bNegotiable Certificates of deposit = $940.0b                        Banking system deposits with the Fed = $88bHousehold money market deposits accounts = $1588b     Non-negotiable Certificates of deposit = $1629bInstitutional money market accounts = $2764b                   Treasury Bills = $222ba.    Calculate the MB.b.   Calculate m1 as illustrated in practice problems. Interpret the multiplier.c.   Calculate M1 using the multiplier method.d.   Check using the definition of M1 method.e.   Repeat parts b-d for M2.f.   Suggest a specific action by the Federal Reserve if the macroeconomic models suggest that a $425 billion dollar decrease       in the M2 money supply is required to bring the economy back to a full employment equilibrium.g.  (Bonus: 6 additional points) recalculate the monetary base, multiplier, and money supply for M2 (using the equation      approach) if households respond to lower interest rates by moving $40b from their savings accounts to their checking account     and shift $164b from their money market deposit account to currency holdings.

10-point question Given the following yield information on U…

10-point question Given the following yield information on U.S. Treasury securities: 1-year note yield = 4.23% 2-year note yield = 4.01% 3-year note yield = 4.29% 4-year note yield = 4.95% 5-year note yield = 4.33% 6-year note yield = 4.33% With constant premiums of 0, .16%, .21%, .24%, .26%, and .265%. a. Calculate the expected expectations yields for a (3,3) path. b. Calculate the expected market yields for a (2,4) path. c. Determine the expected preferred habitat yield for a 3-year note purchased at the beginning of year 2. d. Determine the expected expectations yield on a 5-year note purchased today.

Suppose that from a new checkable deposit, First National Ba…

Suppose that from a new checkable deposit, First National Bank holds one million dollars in vault cash, nine million dollars on deposit with the Federal Reserve, and two million dollars in required reserves. Given this information, we can say First National Bank faces a required reserve ratio of ________ percent.