Question: Suppose the liquidity preference function is given by: Y = L(1,Y)== -1,100 Calculate velocity for each period, using the money demand equation: Y V= L(1,Y

Suppose the liquidity preference function is given by: Y = L(1,Y)==

Suppose the liquidity preference function is given by: Y = L(1,Y)== -1,100 Calculate velocity for each period, using the money demand equation: Y V= L(1,Y along with the following table of values. (Round your responses to two decimal places.) Y(in billions) Interest rate Velocity Period 1 12,100 0.05 Period 2 12,600 0.07 Period 3 12,250 0.03 Period 4 12,600 0.04 Period 5 12,700 0.06 Period 6 13,200 0.04 Period 7 13,300 0.06

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