Multiple Choice
A change in income in the IS-LM model for a fixed price represents a
A) shift in the aggregate demand curve. represents a movement along the aggregate demand curve.
B) has the same effect on the aggregate demand curve as a change in income in the IS-LM model resulting from a change in the price level.
C) does not represent a change in the aggregate demand curve.
D) and the interest rate in both the short and long runs.
Correct Answer:
Verified
Correct Answer:
Verified
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