(a) From the table below, calculate the M1 and M2 values of this economy's money supply. Value (in billions) Currency $95 Checkable deposits 25 Traveler's checks 5 Savings deposits 130 Small-denomination time 65 deposits MNoninstitutional money market 60 mutual fund shares Money market deposit accounts 35 (b) Suppose the commercial banking system in Canada has a target reserve ratio of 3%. A new immigrant to the country makes a cash deposit of $2,000 into his bank. Fill in the table below to show how deposits, reserves, and loans change as the new deposit permits the banks to \"create\" money by making the calculations. What is the total change in deposits after the first five rounds of deposit creation? What is the total change in bank deposits created by this initial 52,000 deposit for all possible rounds of deposit? What is the total amount of new loans that can be created from the 52,000 deposit? ( Quantity of Money The graph shows the money supply and money demand at various interest rates. (a) Suppose the interest rate is at is. Explain how firms and households attempt to satisfy their excess demand for money. What is the effect of their actions? (b) Suppose the interest rate is at ig. Explain how firms and households attempt to dispose of their excess supply of money. What is the effect of their actions? (c) MNow suppose there is an increase in the transactions demand for money because of growth in real GDP. Beginning at i*, explain what happens in the money market. How is this shown in the diagram