What determines how much money you keep in your pocket, Macroeconomics

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What determines how much money you keep in your pocket

Problem

1. Suppose the Fed has a target range for the yen-dollar exchange rate. How would it keep the exchange rate within the target range if free market forces push the exchange rate out of the range? Use a graph to help explain your answer.

2. Why do you demand money? What determines how much money you keep in your pocket, purse, or bank accounts?

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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