Salads 'r' us requires all its franchisees to sign an agreement that they will use napkins and dressings purchased from salads 'r' us. unless the agreement is signed, no one is awarded a franchise. salads 'r' us maintains that the agreement is necessary to preserve uniformity and quality in all franchise outlets. the purchasing requirement is: a. an illegal tying arrangement. b. valid as a quality control mechanism for protection of goodwill. c. coercion and is invalid. d. none of the above

Assume that the following conditions exist: a. all banks are fully loaned up- there are no excess reserves, and desired excess reserves are always zero. b. the money multiplier is 5 .     c. the planned investment schedule is such that at a 4 percent rate of interest, investment =$1450 billion. at 5 percent, investment is $1420 billion. d. the investment multiplier is 3 . e.. the initial equilibrium level of real gdp is $12 trillion. f. the equilibrium rate of interest is 4 percent now the fed engages in contractionary monetary policy. it sells $1 billion worth of bonds, which reduces the money supply, which in turn raises the market rate of interest by 1 percentage point. calculate the decrease in money supply after fed's sale of bonds: $nothing billion.