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Explain the different sections and intersections of the diagram attached
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- Why Keynesian economics become popular back in 1930’s. Do you think that during 2005-08 financial crisis, Keynesian 1930 solution work for the economy? Explain your answerI need help on this using 1. Keynesian cross and IS-Lm model. Find the equilibrium level of national income in the basic Keynesian macroeconomic model: Y=C+I+G C=20+0.75Yd Yd=(1-t)Y
- Find the equilibrium level of national income in the basic Keynesian macroeconomicmodel. C = 40 + 0.5YI = 200(13) In the Keynesian Cross model, AE = Y is known as the __________________________ __________________________.Keynes- 1. Derive an IS curve that is highly interest rate elastic. Make sure to graph the Investment schedule and the savings schedule along with the IS curve.
- 1. Long run self adjustment in the AD-AS model. Take an example 2. Fiscsal policy . Take an example 3. automatic stabilizers. Take an exampleEconomists from all theoretical persuasions criticized the American Recovery and Reinvestment Act. The Stimulus Package was arguably a Keynesian measure so why would a Keynesian economist be critical of it? Why would neoclassical economists be critical?What is Keynes; law?
- In theory, how does the Keynesian as well as the Neoclassical perspectives work in manipulating total output/income in the economy? Is this effective in the short-run or long-run? Support your answer.Brief explanation on keynesian model and its diagramKeynesian aggregate demand model uses income... a) ICOR (Incremental Capital-Output Ratio) b) Aggregate demand c) Multiplier d) All answers are correct
