Answer to Question #58545 in Macroeconomics for Munyaradzi Kanda

Question #58545
Assume that we have the following data: C=100+0.50Y Ip=100-20r Mt=0.10Y Ms=100-10r M=80 a. Build the IS-LM function. b. If we assume an increase in Investments by 100 units, please calculate again the IS-LM functions. c. The intersection of IS-LM functions defines four areas. Please analyze the behavior of the markets for goods and money for each area.
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