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Is curve should be relatively steep

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Reference no: EM132519805

Suppose the demand for money is NOT very sensitive to the interest rate (i.e. h=0 in our model). Given this information, we know that:

Group of answer choices

  • the IS curve should be relatively steep.
  • neither the IS nor the LM curve will be affected.
  • the LM curve should be relatively flat.
  • the IS curve should be relatively flat.
  • the LM curve should be relatively steep.

Reference no: EM132519805

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