IS LM , Macroeconomics

T=1200 + .4Y
(M/P)^d = .35Y - 5r

a. Compute the multiplier
b. Derive the equation for Ap
c. Derive the equation for the IS Curve

d. Calculate the slope of the IS Curve
e. Derive the equation of LM Curve
f. Calculate the slope of the IS Curve
g. Calculate the equilibrium value for r
h. Calculate the equilibrium value for Y
i. Construct the IS and LM curves using the interest rates of 10, 11, 12, 13, 14, 15, 16, and 17
By using the information from answers a-h.
Posted Date: 11/1/2012 10:48:35 PM | Location : United States

Related Discussions:- IS LM , Assignment Help, Ask Question on IS LM , Get Answer, Expert's Help, IS LM Discussions

Write discussion on IS LM
Your posts are moderated
Related Questions
: Suppose that 100 people live around a hazardous waste dump. If the people continue to live there for 20 years, one of them will likely contract a painful, non-fatal cancer that w

discuss the effect that the activities of a trade union might have on an economy?

If the AD excess is $300 billion and the MPC is 0.8 how much fiscal restraint is required? What does the "debt held by the public" mean?

how the theories of trade cycle affects in the business

Consider a nation in which the volume of goods and services is growing by 5 percent per year. If a country's economic size is growing faster than the rest of the world, then

1. Consider the market for a particular type of computer memory chip. Would you expect the long-run (own-price) elasticity of supply to be larger or smaller than the short-run elas

Q. Explain the classical motivation? The classical motivation: Consumers want to smooth their consumption over time. In good times, consumers know that it is a temporary stat

n 2013, approximately 58 percent of the adult population (245 million) was employed, the lowest employment rate in 20 years. If the employment rate increased to the prerecession l

Let us now see a bit more closely how monetary policy works. See Figure FigureĀ  The initial equilibrium at point E is on the initial LM schedule that corresponds to a

Consider the economic data for Country A: Unemployment level of 15% Natural Rate of Unemployment is 6%. Required Reserves is 25% C = 50 + 0.75Y; I = 600; G = 250 (note: T = 200 for