Q. This deviation from the classical dichotomy and the Fisher effect is called the Mundell-Tobin effect. Explain how might you decide whether the Mundell-Tobin effect is important in practice?
Q. Use a blue line (circle symbols) to graph the following linear equation P = 2 - (1/3)Q, where P is the price of a box of granola and Q is the quantity of granola (measured in boxes) that is demanded by customers. Price is plotted on the vertical axis, and quantity is plotted on the horizontal axis.