- Given the model Y = C + I + G + Xn C = a + b Yd I = f ( i )Money Supply/Demand

Question

- Given the model Y = C + I + G + Xn C = a + b Yd I = f ( i )Money Supply/Demand I ? f( Y ) ie, MPI = 0Ms = Mso G = GoMd = Mt + Ml Tx = TxoMl = f ( i ) X = XoMt = f ( Y ) M = Mo + m Y (This is M for imports) -An increase in the public's liquidity preference (that is, the Ml money demand curve shifts outward to the right)would lead to: Lower interest rates Higher level of income Increased government tax receipts Lower volume of imports - An increase in the money supply would shift the IS curve: leftward would not shift it in an indeterminate direction

Explanation / Answer

incomplete details as u ve not mentioned what each term means.... please post the complete question with proper details so dat i can provide u the best possible answer..

Related Questions

Navigate

• Browse (All)
• Browse #
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.