Principles of Money, Banking & Financial Markets 12th Edition by Lawrence Ritter,William Silber,Gregory Udell

Exercise 8

For each of the following, state the impact on the IS , LM , and aggregate demand curves:
a. An increase in government expenditures
b. An increase in the money supply
c. The elimination of transaction fees when using ATM machines leading to a decrease in money demand
d. Investment becomes more sensitive to changes in interest rates