Notes on interest rate and aggregate supply

Assignment Help Macroeconomics

Reference no: EM1311611

Provide brief but theoretically sound explanation for each of the following.

a.The relationship between money and prices in the classical system.

b. why a tax cut may not necessarily induce substantial increases in private consumptions expenditures.

c. why interest rate and money demand are inversely related

d. why short run aggregate supply could be horizontal rather than positively sloped

Reference no: EM1311611

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