AP ECONOMICS: April 2 Warm-up What is the maximum increase in the money supply (MS) as a result of the following actions (see HO from last class)?

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AP ECONOMICS: April 2 Warm-up What is the maximum increase in the money supply (MS) as a result of the following actions (see HO from last class)? r=.25 A. Freda deposits $1,000 of cash into her checking account from her purse. B. The Fed buys $1,000 of bonds on the open market. --Make-up quizzes/turn in makeup work (will discuss tomorrow) --Work on MCT #4 Practice Questions (HO) Assignment --MCT #4 Practice Questions (HO from above) --review Unit 4 GC videos FRQs #6 & #7 are Thursday (short: deposit expansion, T-account, money multiplier, etc.) (long: AD-AS, fiscal policy, monetary policy, self-correction) MCT #4 is Friday