Question 34 (1 point) Consider a short-run closed economy IS-LM model where the aggregate demand equation...

 

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Question 34 (1 point) Consider a short-run closed economy IS-LM model where the aggregate demand equation is given by a) P* = 45.8 b) P* = 63.2 Suppose that the aggregate supply equation is YS Y + a(P-EP) where Y=2500, EP=60, and where x =4. In equilibrium, YS Yd. Then the equilibrium price in this economy will be approximately (Hint: You should get a (simple) quadratic equation in P that you need to solve for P.) c) p* = 35.4 yd. d) P* = 68.5 = 2500 + (800/P) - = Question 34 (1 point) Consider a short-run closed economy IS-LM model where the aggregate demand equation is given by a) P* = 45.8 b) P* = 63.2 Suppose that the aggregate supply equation is YS Ỹ +a (P - EP) where Y=2500, EP=60, and where x =4. In equilibrium, YS Yd. Then the equilibrium price in this economy will be approximately (Hint: You should get a (simple) quadratic equation in P that you need to solve for P.) c) p* = 35.4 yd. d) P* = 68.5 = 2500 + (800/P) - = Question 34 (1 point) Consider a short-run closed economy IS-LM model where the aggregate demand equation is given by a) P* = 45.8 b) P* = 63.2 Suppose that the aggregate supply equation is YS Y + a(P-EP) where Y=2500, EP=60, and where x =4. In equilibrium, YS Yd. Then the equilibrium price in this economy will be approximately (Hint: You should get a (simple) quadratic equation in P that you need to solve for P.) c) p* = 35.4 yd. d) P* = 68.5 = 2500 + (800/P) - = Question 34 (1 point) Consider a short-run closed economy IS-LM model where the aggregate demand equation is given by a) P* = 45.8 b) P* = 63.2 Suppose that the aggregate supply equation is YS Ỹ +a (P - EP) where Y=2500, EP=60, and where x =4. In equilibrium, YS Yd. Then the equilibrium price in this economy will be approximately (Hint: You should get a (simple) quadratic equation in P that you need to solve for P.) c) p* = 35.4 yd. d) P* = 68.5 = 2500 + (800/P) - =

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