In the IS-LM Model, consider an expansionary fiscal policy with no change in the money supply. What is the effect of this policy on GDP, interest rate and private sector investment spending?

IS Curve Shifts Right, LM Curve is Unchanged

Output and Interest rate increase

IS Curve Shifts Left, LM Curve is Unchanged

Output and Interest rate decrease

Consider: C= 200+0.25Yd I= 150+0.25Y-1000i G=250 T=200 (M/P)d= 2y-8000i (M/P) = 1600 What is the IS Curve and LM Curve

Y = 1100-2000i and i=Y/4000-1/5

Y = 1200-1800i and i=Y/3400-1/6

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dylan_earl 2 Fragen Aktualisiert am 19 Feb 2016

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1In the IS-LM Model, consider an expansionary fiscal policy with no change in the money supply. What is the effect of this policy on GDP, interest rate and private sector investment spending?
1. AIS Curve Shifts Right, LM Curve is Unchanged
2. BIS Curve Shifts Left, LM Curve is Unchanged
3. COutput and Interest rate increase
4. DOutput and Interest rate decrease
2Consider:
C= 200+0.25Yd
I= 150+0.25Y-1000i
G=250
T=200
(M/P)d= 2y-8000i
(M/P) = 1600

What is the IS Curve and LM Curve
1. AY = 1100-2000i and i=Y/4000-1/5
2. BY = 1200-1800i and i=Y/3400-1/6
3. CY = 1300-1700i and i=Y/4200-5

Beschreibung: University Macro ((d)Ch 6: Labour Market (exam)) Quiz am Macro Chapter 6 Quiz, erstellt von dylan_earl am 01/04/2015.
Autor: dylan_earl
Sprache: English
Aufrufe: 2
Verlauf: Erstellt am 1 Apr 2015 · aktualisiert am 19 Feb 2016
Schlagwörter: macro (d)ch 6: labour market (exam)university
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