Answered: How does the graph look for the effect…

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter14: Money And The Economy

Section: Chapter Questions

Problem 15QP

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How does the graph look for the effect of a temporary but persistent increase in total factor productivity on current real interest rates. I know that the x axis is the investment and the y axis is the real interest rates but im not sure how the graph should look. Could you show me what the graph should look like?

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so do i not draw a supply curve. whats the reasoning for not drawing it.

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