For an IS/LM model of an economy with the following equations:C = 200 + 0.8Yd| = 220 - 25i= 240TR= 150T= .2YL=.1Y- 3iM= 125The equilibrium interest rate and output combination isO (30, 1250)O (9.2, 1526) .O (69.5, 2168.4)(3, 125)

The IS-LM model is the demonstration of how the goods market and the asset market interact. The IS…

For an IS/LM model of an economy with the following equations: C = 200 + 0.8Yd | = 220 - 25i = 240 TR = 150 T=.2Y L=.1Y-3i = 125 The equilibrium interest rate and output combination is O (30, 1250) (9.2, 1526) (69.5, 2168.4) (3, 125)

For an IS/LM model of an economy with the following equations: C = 200 + 0.8Yd | = 220 - 25i = 240 TR = 150 T=.2Y L=.1Y-3i = 125 The equilibrium interest rate and output combination is O (30, 1250) (9.2, 1526) (69.5, 2168.4) (3, 125)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

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For an IS/LM model of an economy with the following equations:
C = 200 + 0.8Yd
| = 220 - 25i
= 240
TR
= 150
T= .2Y
L=.1Y- 3i
M= 125
The equilibrium interest rate and output combination is
O (30, 1250)
O (9.2, 1526) .
O (69.5, 2168.4)
(3, 125)

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