Suppose the economy is initially in short run equilibrium, Ask an Expert

Economics

Suppose the economy is initially in short run equilibrium at a level of output above the natural rate.

Use the IS-LM model to graphically show how the levels of income and interest rates change as the economy returns to the natural rate of output in the medium run. Explain.

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M91295488

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