68 365
Assignments Done
98,7%
Successfully Done
In November 2018

Answer to Question #56932 in Other Economics for nidhi gambhir

Question #56932
Consider the following demand and supply model for money. Demand for Money: Mt to the power d=alpha0+alpha1yt+alpha2Rt+alpha3Pt+u1t
Supply of Money: Mt to the power s=beta 0+ beta1yt+u2t
Expert's answer
If the demand for Money is Mtd=alpha0+alpha1Yt+alpha2Rt+alpha3Pt+u1t and the supply of Money is Mts=beta 0+ beta1yt+u2t, then in equilibrium Md = Ms, so: alpha0+alpha1Yt+alpha2Rt+alpha3Pt+u1t = beta 0+ beta1yt+u2t.

Need a fast expert's response?

Submit order

and get a quick answer at the best price

for any assignment or question with DETAILED EXPLANATIONS!

Comments

No comments. Be first!

Leave a comment

Ask Your question

Submit
Privacy policy Terms and Conditions