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Consider an Open Economy with Fixed Exchange Rate. What is the accompanying movement in IS/LM when AS shifts. Assume that AD is downward sloping

 

Consider an Open Economy with Fixed Exchange Rate. What is the accompanying movement in IS/LM when AS shifts. Assume that AD is downward sloping and does not shift. a. IS shift b. LM shift c. Both a. and b. d. Neither a. nor b.

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