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Consider the Keynesian model of the IS relationship. The endogenous variables are Y, and C. Y = C+I+G C = do + ai(Y T), ao

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Consider the Keynesian model of the IS relationship. The endogenous variables are Y, and C. Y = C+I+G C = do + ai(Y T), ao > 0,1 > Q1 > 0 I = Bo + Bir, Bo > 0, B1 0,1 > Q1 > 0 I = Bo + Bir, Bo > 0, B1

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