Please help me with this questions wih explanantion.

Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter24: The Aggregate Demand/aggregate Supply Model
Section: Chapter Questions
Problem 61P: Table 24.4 describes Santhers economy. Plot the AD/AS curves and identify the equilibrium. Would you...
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Please help me with this questions wih explanantion.

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10. We consider the IS model where investment is given by ⁄ = ā¡ — ñ(R — ñ). An increase in the coefficient āį
the government purchase multiplier.
a.
Raises
b.
Reduces
C. Does not affect
d.
e.
Raises if R > ř
Raises if R < r
Transcribed Image Text:I 10. We consider the IS model where investment is given by ⁄ = ā¡ — ñ(R — ñ). An increase in the coefficient āį the government purchase multiplier. a. Raises b. Reduces C. Does not affect d. e. Raises if R > ř Raises if R < r
23. Consider the IS model and suppose the economy starts in a long run equilibrium. An increase in the real
the IS curve and short-run output becomes
interest rate corresponds to
a.
D
C.
A shift to the right of; positive
A shift to the left of; positive
A move along; positive
d. A shift to the left; zero
e. A move along; negative
Transcribed Image Text:23. Consider the IS model and suppose the economy starts in a long run equilibrium. An increase in the real the IS curve and short-run output becomes interest rate corresponds to a. D C. A shift to the right of; positive A shift to the left of; positive A move along; positive d. A shift to the left; zero e. A move along; negative
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