Suppose real output is 12,500,and the demand for real money balances is 
= 
- 125i.If the equilibrium interest rate is 7 percent,calculate the money supply.If the central bank sets the interest rate at 8 percent,what is the new money supply?
Definitions:
Act of Supremacy
The 1534 legislation passed by the English Parliament that recognized Henry VIII as the Supreme Head of the Church of England, marking the start of the English Reformation.
1534
A year notable for events like the enactment of the Act of Supremacy, which established King Henry VIII as the head of the Church of England.
Church of England
The primary state church of England, established in the 16th century by King Henry VIII's separation from the Roman Catholic Church.
Dutch Cleric
A religious leader or clergyman from the Netherlands.
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