1. Apple Watch Series 10: Price on Amazon.ca = $539.99 vs Price on Amazon.com = $425.00

2. Electric Toothbrush: Price on Amazon.ca = $94.13 vs Price on Amazon.com = $64.00.

3. Cordless Vacuum Cleaner: Price on Amazon.ca = $399.99 vs Price on Amazon.com = $299.99.

4. Luggage Set: Price on Amazon.ca = $212.39 vs Price on Amazon.com = $147.48.

5. Hair Dyer: Price on Amazon.ca = $56.99 vs Price on Amazon.com = $49.99.

6. 64" Samsung TV: Price on Amazon.ca = $2,497.97 vs Price on Amazon.com = $1799.99.

7. Adidas Runners: Price on Amazon.ca = $160.00 vs Price on Amazon.com = $129.00.

8. Winter Jacket: Price on Amazon.ca = $409.98 vs Price on Amazon.com = $315.00

9. Keurig Coffee Maker: Price on Amazon.ca = $169.99 vs Price on Amazon.com = $99.00

10. Wireless Bluetooth Headphones: Price on Amazon.ca = $179.99 vs Price on Amazon.com = $119.00.

Story #1: 1. The Demand for Canadian Dollars will ____________________ (increase/decrease/unchanged).

Story #1: 2. The Supply of Canadian Dollars will ___________________ (increase/decrease/unchanged).

Story #1: 3. The Demand for US Dollars will ______________________ (increase/decrease/unchanged).

Story #1: 4. The Supply of US Dollars will _________________________ (increase/decrease/unchanged).

Story #1: 5 The Canadian Dollar will _________________________ against the US dollar.

Story #2: 1. The Demand for Canadian Dollars will __________________ (increase/decrease/unchanged).

Story #2: 2. The Supply of Canadian Dollars will ____________________ (increase/decrease/unchanged).

Story #2: 3.  Demand for US Dollars will ____________________________ (increase/decrease/unchanged).

Story #2: 4. The Supply of US Dollars will _______________________ _(increase/decrease/unchanged).

Story #2: 5. The Canadian Dollar will _________________________ against the US dollar.

1. Assume Part A: The Demand for Loanable Funds will _________________(Increase/Decrease/Unchanged).

2. Assume Part A: Given your answer in Question 1 above, the Demand Curve will shift _______________ (Left/Unchanged).

3. Assume Part A: The Supply Curve will __________________. (Increase/Decrease/Unchanged).

4. Assume Part A : Given your answer in Question 3 above, the Supply Curve will shift to the __________(Left/Unchanged).

5. Assume Part A: Will the shift or shifts of the curves above create a _______________(Shortage/Surplus) of loanable funds.

6. Assume Part A: Given your answer in Question 5 above, will the real interest rate ______________(Increase/Decrease/Unchanged).

7. Assume Part A: Given your answer in Question 6 above, investment will ____________(Increase/Decrease/Unchanged).

8. Assume Part A: Given your answer in Question 6 above, private savings will ___________(Increase/Decrease/Unchanged).

9. Assume Part A: At the new equilibrium real interest rate will the equilibrium quantity of loanable funds ______________(Increase/Decrease/or be Unchanged) compared to the original equilibrium quantity.

10. Assume Part A: Should the theory of Ricardo-Barro effect be applied to this results of the events in Part A? (Yes/No)

11. Assume Part B: The Demand for Loanable Funds will _________________(Increase/Decrease/Unchanged).

12. Assume Part B: Given your answer in Question 11 above, the Demand Curve will shift _______________ (Right/Left/Unchanged).

13. Assume Part B: The Supply Curve will __________________ (Increase/Decrease/Unchanged).

14. Assume Part B: Given your answer in Question 13 above, the Supply Curve will shift to the __________(Left/Right/Unchanged)

15. Assume Part B: Will the shift or shifts of the curves above create a _______________(Shortage/Surplus) of loanable funds.

16. Assume Part B: Given your answer in Question 15 above, will the real interest rate _______________________________ (Increase/Decrease/Unchanged).

17. Assume Part B: Given your answer in Question 16 above, investment will ____________(Increase/Decrease/Unchanged).

18. Assume Part B: Given your answer in Question 16 above, private savings will ___________(Increase/Decrease/Unchanged).

19. Assume Part B: At the new equilibrium real interest rate will the equilibrium quantity of loanable funds ______________(Increase/Decrease/or be Unchanged) compared to the original equilibrium quantity.

20. Assume Part B: Should the theory of Ricardo-Barro Effect only be applied if government spending crowds out investment? (Yes/No)

Part A: Question #1:  If Canada was in a Recession then the Bank of Canada would _________________(Buy/Sell) securities from Chartered Banks. 

Part A: Question #2: If Canada was in a Recession then the Bank of Canada would ________________(Increase/Decrease) the Chartered Banks Reserves (a.k.a CB Deposits at the Bank of Canada)?

Part A: Question #3: If Canada was in a Recession then the Chartered Banks would be expected to ____________ (Create Loans/Call in Loans) in the amount of the Chartered Bank's excess reserves. 

Part A: Question #4: In a time of a recession the Bank of Canada would succeed in increasing the money supply shifting it right and causing an _______________________(Excess Demand for/Excess Supply of) Money.

Part A: Question #5: In a time of a recession the Bank of Canada would succeed in increasing the money supply shifting it right and causing an _______________________(Excess Demand for/Excess Supply of) Bonds.

Part A: Question #6: In a time of a recession the Bank of Canada would succeed in increasing the money supply shifting it right, households will _____________________ (Buy/Sell) Bonds to bring the Money Market back to equilibrium.

Part A: Question #7: In a time of a recession the Bank of Canada would succeed in increasing the money supply shifting it right, the price of bonds will ________________ (Increase/Decrease). 

Part A: Question #8: In a time of a recession the Bank of Canada would succeed in increasing the money supply shifting it right, and finally the nominal interest rate will ___________________ (Increase/Decrease).

Part B: Question #1: If Canada was in an Inflationary period, then the Chartered Banks would be expected to ____________ (Create Loans/Call in Loans) in the amount of the Chartered Bank's excess reserves. 

Part B: Question #2: In a time of an inflationary period the Bank of Canada would succeed in decreasing the money supply shifting it left, households will _____________________ (Buy/Sell) Bonds to bring the Money Market back to equilibrium

#1 represents the first source of funding for investment; ________.

#2 represents the second source of funding for investment; ________.

#3 represents the third source of funding for investment ________.

#4 represents _______.

#5 represents ________.

#6 represents ________.

#7 represents ________.

#8 represents ________.

#9 represents ________.

#10 represents ________.

#11 represents ________.

#12 represents ________.

#13 represents ________.

#14 represents ________.

If GDP = 10300; C = 6000;  G = 2000; T = 3000; M = 2200 & X = 2400; then Private Savings = ____________.