Suppose the money market is in the liquidity trap and the Fed increases the supply of money. We expect thata. people will end up willingly holding more money. b. the excess money holdings will flow into the loanable funds market and there will be a decrease in interest rates. c. interest rates will increase, since the demand curve for money is upward sloping in this case. d. eventually, via the transmission mechanism, Real GDP will increase.

b. a single paragraph.

a paragraph is a series of sentences that are organized and make sense, and are all related to a single topic . almost every piece of writing you do that is longer than a few sentences should be organized into paragraphs. this is because paragraphs show a reader where the subdivisions of an essay begin and end, and thus the reader see the organization of the essay into subjects in order to be able to understand its main points.

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.