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Refer to the following diagrams, in which the numbers in parentheses after the AD 1 , AD 2 , and AD 3 labels indicate the

Refer to the following diagrams, in which the numbers in parentheses after the AD1, AD2, and AD3 labels indicate the level of investment spending associated with each curve. All figures are in billions. Also assume that the potential GDP is at Qf2.

image text in transcribedimage text in transcribed
Ms; Msalsa Investment 12 demand 8 Y Interest rate Interest rate (%) Z $75 150 225 $50 100 150 Amount of money Investment demanded and supplied

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