Can you list the solutions of these questions?Consider the following information:LA MadisonHousing price index358133/000.2.6915Food & Groceries price index10088You have in hand two job offers, one from a company in Los Angeles, CA, with annual income of$100,000, and the other one from Madison, WI, with annual income of $40,000. You are happy witheither type of weather, your only concern is the housing condition, your friends though suggest you totake both housing and food & grocery conditions into equal consideration, as they know you spend alot on food and groceries. You decide to do some research and measure the income in real terms asyou have learned from macroeconomics class and you find the indexes shown in the table. Based onthe information, which offer should you take if you would only consider the Housing price level, andwhich one should you take if you would follow your friends’ suggestion, weighting equally the Housingprice and Food & Groceries price levels respectively?LA; MadisonMadison; MadisonMadison; LA(d)LA; LA8. Suppose the FED has set the legal reserve requirement at 10% and is considering lowering it, howeverthey are not sure by how much to lower it. Their goal is to increase the total money supply by at least$5000. How much in total deposits must banks be holding for them to accomplish this goal withoutreducing the reserve requirement all the way down to 5%?(a)More than $500Less than $500Exactly $500X – 57%IOK – XX = 5000(d)Cannot determine without more informationlox-too
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