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Solve for equilibrium level of investment. d. Let's go behind the scene in the monetary market. Use the equilibrium in the money market M/P =

Solve for equilibrium level of investment.

d. Let's go behind the scene in the monetary market. Use the equilibrium in the money market M/P = d1Y - d2i to solve for the equilibrium level of the real money supply.

How does the real money supply vary with government spending?

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