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A two equations model below represent goods sector and marketing sector equilibrium for hypothetical economy: Y=Io/1-c+b/1-c . r Io>0,b <0,0 0,f>0, g <0,e <0 I)
A two equations model below represent goods sector and marketing sector equilibrium for hypothetical economy:
- Y=Io/1-c+b/1-c . r Io>0,b<0,0
2. Y=Lo/f -g/f .r Lo>0,f>0, g<0,e<0
I) What are model and form of these equations?
The given factions IS-LM model and it is an explicit form
How do we know the model IS-LM and the form is explicit form explain ?
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