Multiple Choice
The IS-MP model differs from the IS-LM model in that it is assumed
A) central banks target inflation and set interest rates to meet such a target.
B) the money supply is endogenous.
C) price and wage stickiness do not exist.
D) governments instruct central banks on the level of the money supply and interest rates.
Correct Answer:
Verified
Correct Answer:
Verified
Q12: Figure 4 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7553/.jpg" alt="Figure 4
Q13: IS stands for:<br>A) Investment and Spending<br>B) Imports
Q14: John Maynard Keynes' General Theory was an
Q15: Refer to figure 1 below. If the
Q16: Figure 4 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7553/.jpg" alt="Figure 4
Q18: Explain how the aggregate demand curve is
Q19: The slope of the expenditure line is
Q20: Which of the following will not weaken
Q21: An increase in the demand for money
Q22: Which of the following statements about Keynesian