Question
1 Derive the IS and LM curve and equilibrium interest rate, Equilibrium income and Equilibrium quantity given the following 1. C=200+0.75(Y-T) 2. I=200-25r 3. G=100,
1 Derive the IS and LM curve and equilibrium interest rate, Equilibrium income and Equilibrium quantity given the following
1. C=200+0.75(Y-T)
2. I=200-25r
3. G=100, T=1000 and Ms=1000
4. (M/P)d=Y-100r
5. P=2
2 Discuss the effect of fiscal and monetary policy on IS-LM model
3. Differentiate between Expansionary macroeconomics and contractionary macroeconomics
4. How do we use fiscal policy tools to solve macroeconomic problem
5. How do economist use monetary policy tools to solve macroeconomic problem
6. What are the objectives of fiscal policies
7. Discuss the instrument of monetary policy
8. Discus the limitation of the monetary policy in developing economies
9.Discuss the liquidity preferences theory in relevance with money market
10. Discuss Keynesian cross in respect to goods market
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