$\begin{array}{|c|c|}
\hline\begin{array}{c}
\text { Interest rate } \
\text { (percent per year) }
\end{array} & \begin{array}{c}
\text { Uantity of money } \
\text { demanded (trillions } \
\text { of } 2005 \text { dollars) }
\end{array} \\hline 3 & 2.0 \
\hline 4 & 1.5 \
\hline 5 & 1.0 \
\hline 6 & 0.5 \
\hline
\end{array}$
-The above table has the demand for money schedule.
a) If the Fed sets the quantity of money equal to $1.0 trillion, what is the equilibrium interest rate?
b) If the Fed wants the interest rate to be 4 percent, what must it do?

Question

Quizplus · Accepted Answer

The Answer of  $\begin{array}{|c|c|}
\hline\begin{array}{c}
\text { Interest rate } \
\text { (percent per year) }
\end{array} & \begin{array}{c}
\text { Uantity of money } \
\text { demanded (trillions } \
\text { of } 2005 \text { dollars) }
\end{array} \\hline 3 & 2.0 \
\hline 4 & 1.5 \
\hline 5 & 1.0 \
\hline 6 & 0.5 \
\hline
\end{array}$
-The above table has the demand for money schedule.
a) If the Fed sets the quantity of money equal to $1.0 trillion, what is the equilibrium interest rate?
b) If the Fed wants the interest rate to be 4 percent, what must it do?

-The Above Table Has the Demand for Money Schedule