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What is the equation that describes the is curve

Assignment Help Macroeconomics
Reference no: EM132140936

Question: Assume an economy is described by the following economic parameters:

C = 0.8YD

YD = Y + TR - tY

TR = 100

t = 0.3

I = 1000 - 65i

G = 600

L = 0.25Y - 75i

M/P = 600

What is the equation that describes the IS curve?

What is the general definition of the IS curve?

What is the equation that describes the LM curve?

What is the general definition of the LM curve?

What are the equilibrium levels of output and interest rates in this economy?

Reference no: EM132140936

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