Explain the effect of each of the following on the IS curve: a. Government spending decreases. b.
Question:
a. Government spending decreases.
b. Foreign demand for the country's exports increases.
c. The country's interest rate increases?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 62% (16 reviews)
a A decrease in government spending tends to decrease domestic product and decrease interest ra...View the full answer
Answered By
Susan Juma
I'm available and reachable 24/7. I have high experience in helping students with their assignments, proposals, and dissertations. Most importantly, I'm a professional accountant and I can handle all kinds of accounting and finance problems.
4.40+
15+ Reviews
45+ Question Solved
Related Book For
Question Posted:
Students also viewed these Economics questions
-
Mexico trades with Canada. Explain the effect of each of the following events on the quantity of real GDP demanded and aggregate demand in Mexico. Canada goes into a recession. The price level in...
-
Explain the effect of each of the following events on the quantity of U.S. real GDP demanded and the demand for U.S. real GDP: The world economy goes into a strong expansion. The U.S. price level...
-
The demand for housing is often described as being highly cyclical and very sensitive to housing prices and interest rates. Given these characteristics, describe the effect of each of the following...
-
A geostationary satellite orbiting at a height 36,000km operates at 4GHz using a transmitter antenna that has a gain of 15dB. On earth the receiver antenna has a gain of 45dB. Calculate; (a) Free...
-
Ellis issues 6.5%, five- year bonds dated January 1, 2013, with a $ 250,000 par value. The bonds pay interest on June 30 and December 31 and are issued at a price of $ 255,333. The annual market rate...
-
To measure the magnitude of Earth's magnetic field \(B_{E}\), you use a single conducting coil with an area \(A=10 \mathrm{~cm}^{2}\) rotating at an angular speed \(\omega\), and measure the peak emf...
-
Figure P11.64 shows an insulated pipe attached to a tank of air. Estimate the maximum mass flow rate that the pipe could exhaust from the tank. Figure P11.64 p=3 MPa T= 298 K D = 10 cm f= 0.02 L = 25...
-
Investment Turnover Krall Company recently had a computer malfunction and lost a portion of its accounting records. The company has reconstructed some of its financial performance measurements...
-
What are the challenges associated with heat transfer in compact heat exchangers, and how do innovations in materials science and additive manufacturing contribute to overcoming these challenges ?
-
How much money do you think Alice should put aside for her retirement account? Recall that the federally mandated limit for her individual contributions is $18,000 per year and that northwestern can...
-
How does the FE curve relate to the concept of external balance?
-
The Pugelovian government has just devalued the Pugelovian currency by 10 percent. For each of the following, will this devaluation improve the Pugelovian current account deficit? Explain each. 1....
-
1. Describe SEMCOs organizational culture. What artifacts are mentioned in this program that represent and reinforce this culture? What strategies or practices does SEMCO apply to specifically...
-
Discuss at least three distinct strategies Fresh Direct uses to establish strategic differentiation from other NYC grocers. Scuss at least three distinct strategies to establish strategic...
-
Minnie's Soup plant is running at 52% of its monthly capacity. Minnie's Soup plant has just received a special order to produce 400 cases of creamy potato soup for a statewide supermarket. The...
-
Private cost of recreational marijuana is th individual cost of consuming marijuana. Marginal social cost of recreational marijuana is the additional cost for society when an indivual or group of...
-
What do the occ regulations on national bank chartering say about the issue addressed in the farmer's Deposit bank case-the reasonable assurance of the proposed bank's success and public convenience...
-
How is cybersecurity today different than it was when it first emerged as a serious issue, and second, what do these differences mean for how cybersecurity experts (both academic researchers and...
-
A new horror movie, Friday the 13th, Part X, will star Jasons great-grandson (also named Jason) as a psychotic trying to dispatch (as gruesomely as possible) eight camp counselors, four men and four...
-
a) Show that (a, b) := {{a}, {b}} does not satisfy the ordered pair axiom. b) Determine whether each of the following statements is true or false. (Give a reason in each case): (i) {a, b} C (a, b)....
-
Why is it that the gains from trade could not be determined precisely under the Ricardian trade model?
-
How does the commodity terms-of-trade concept attempt to measure the direction of trade gains?
-
What are the effects of transportation costs on international trade patterns?
-
Many American car manufacturers are located in the Southeast. Due to hurricane season, the Southeast has gotten a significant amount of rain, causing vast flooding. How is the supply of cars impacted?
-
Suppose that the cost in dollars for a weekly production of x tons of sugar is given by the following function (a) Find the marginal cost. 1 C(x) = x+3x+200. (b) Find the cost and marginal cost when...
-
16. An IEEE standard 32-bit floating point number is N = -15 x 2E-127 x 1.F, where S is the sign bit, F is the fractional mantissa, and E the biased exponent. a. Convert the decimal number 123.5 into...
Study smarter with the SolutionInn App