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Use the information below to answer the following questions. Understanding components of the IS-LM model 17 1 point Consider the following equations from the IS-LM
Use the information below to answer the following questions. Understanding components of the IS-LM model 17 1 point Consider the following equations from the IS-LM model: Goods Market: Which of the equations below represent conditional equations. (Select all that C = co + c1 (Y - T) apply) I = Io - br I = 10 - br G = Go T = To M = L (r, Y) Y = C+I+G O C = co+ c1 (Y - T) Money Market: L( r, Y ) = mot kY - hr G = Go M = M U None P = P M = L(r, Y) Y = C+I+G O L (r, Y) = mo + kY - hr Classify each equation as either a definitional equation, behavioral equation, reduced form equation, or conditional equation. For each question, select all the O M =M choices that apply. Note: some of these equations may have more than one classification. O P = P O T = To
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