Multiple Choice
Refer to the following figure when answering the following questions.
Figure 11.3: IS Curve
-Consider Figure 11.3. If investment is interest rate sensitive, but not infinitely interest rate sensitive, the economy would be best characterized by:
A) IS4.
B) IS2.
C) IS3.
D) IS1.
E) Not enough information is given.
Correct Answer:

Verified
Correct Answer:
Verified
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