Course Solutions Uncategorized (Solved) : Curve Yis K Ap 150 R Lm Curve Ylm 4 Ms P 600 R C 085 T 175 Nx 008 Ap 4000 Ms 3500 Calculat Q32431089 . . . .

(Solved) : Curve Yis K Ap 150 R Lm Curve Ylm 4 Ms P 600 R C 085 T 175 Nx 008 Ap 4000 Ms 3500 Calculat Q32431089 . . . .

 

IS curve YIS-k ( AP-150 R) ; LM curve YLM-4 (Ms /P) + 600 R ; c= 0.85; t 17.5% ; nx-0.08: AP-4000 MS 3500 a)Calculate the multiplier k b)Derive the IS and the LM curves for P 1.2 c)Find the interest rate and the output at equilibrium (In this exercise, a negative interest rate can be found. rates and outputs for the following price levels P2 2; P3 3; P4 4; P5 5; P6 0.8 (hint: repeat stepsb and c for each price level; however, you will notice that the price change only affects the LM curve and not the IS curve). e)Plot the aggregate demand (AD curve) based on your findings in c. please the most imprtant part is the graph! thank you

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