Question: For each of the following changes, identify (1) whether there is a shift in the IS curve or a movement along the curve, and (2)

For each of the following changes, identify (1) whether there is a shift in the IS curve or a movement along the curve, and (2) if the curve shifts, state the direction in which it shifts.
a. The real interest rate increases.
b. Firms become more pessimistic about future profitability.
c. Government spending increases.
d. Real GDP falls.

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