Question: Please answer correct explain please asap please a and b Don't answer by pen paper plz 6. The diagrams below depicts the initial equilibrium in

Please answer correct explain please asap please a and b

Don't answer by pen paper plz

6. The diagrams below depicts the initial equilibrium in the market for reserves. Draw In the diagrams, and explain, how the equilibrium Fed funds rate and the quantity of reserves would change as a result of each policy stated below. a) The Fed conducts a large scale open market purchase of securities. Federal Funds Rate R urls tua bad gro , NBR Lalaniinit s Quantity of of amobwol elmancos silt of ofhogan b) The Fed increases the interest on reserves above the initial fed funds rate. Federal Funds Rate R NBR Quantity of Reserves, R

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