Friday, June 29, 2012
Q09E: Comparing expansionary fiscal policy with contractionary monetary policy in the IS-LM model
In the IS-LM model an expansionary fiscal policy increases the level of output and income while for a contractionary monetary policy the level of income and output decreases . In both cases the interest rate is higher. The reason for the increase
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment