Use the IS-LM Model to Predict the Short-Run Impact on the Interest

Essay

Use the IS-LM model to predict the short-run impact on the interest rate and output if the Fed pushes interest rates down at the same time that both consumption and investment fall due
to a financial crisis. Illustrate your Answer graphically. Be sure to label: i. the axes; ii. the curves; iii. the initial equilibrium; and iv. the direction the curves shift. Explain your Answer in words.