IS LM , Macroeconomics

Assignment Help:
C=Ca+.95(Y-T)
Ca=400-20r
T=1200 + .4Y
(M/P)^d = .35Y - 5r
(M^s/P)=2000
Ip=1500-20r
G=2200
NX=500-.06Y

a. Compute the multiplier
b. Derive the equation for Ap
c. Derive the equation for the IS Curve

d. Calculate the slope of the IS Curve
e. Derive the equation of LM Curve
f. Calculate the slope of the IS Curve
g. Calculate the equilibrium value for r
h. Calculate the equilibrium value for Y
i. Construct the IS and LM curves using the interest rates of 10, 11, 12, 13, 14, 15, 16, and 17
By using the information from answers a-h.

Related Discussions:- IS LM

Inftaion, what is the cause of inflation in PNG

what is the cause of inflation in PNG

Classical model, using a graph of the classical labour market, illustrate t...

using a graph of the classical labour market, illustrate the effects of a real wage existing in the market that is lower than the equilibruim real wage.what will eventually happen

Expected inflation, Note that it's changes in prices during 2008 that matte...

Note that it's changes in prices during 2008 that matter for the high real interest rate (time period when your deposit is earning interest). This means that you can never know how

International trade, how can a country maintain equilibrium GDP with foreig...

how can a country maintain equilibrium GDP with foreign trade?

Nation in which the volume of goods, Consider a nation in which the volume ...

Consider a nation in which the volume of goods and services is growing by 5 percent per year. If a country's economic size is growing faster than the rest of the world, then

Describe how price level evolves over time, Describe how price level evolve...

Describe how price level evolves over time Using the time series we can study how price level evolves over time. If all prices rose by 2% during one month, price level would ri

Determine the probability and power curve, Learning Objective: Reinforce u...

Learning Objective: Reinforce understanding of Power, β , and α . Problem: A packing process is designed to fill steel drums with 400 pounds of a chemical. To determine whe

Classical labour market, effects of a real wage existing in the market that...

effects of a real wage existing in the market that is lower than the equillibrium real wage. what will eventually happen in this labour market if it is perfectly competitive

Industry''s long-run supply schedule, A perfectly competitive painted neckt...

A perfectly competitive painted necktie industry has a large number of potential entrants. Each firm has an identical cost structure such that long-run average cost is minimized at

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd