Question: Set up a spreadsheet that lets you change the parameters of the IS-LM model experimentally. Make two copies of the model in your spread- sheet,
Set up a spreadsheet that lets you change the parameters of the IS-LM model experimentally. Make two copies of the model in your spread-
sheet, one to use as a control (with the original parameter values), and the other to test changes in a single parameter. Graph the IS and LM equations from the control and test models. Use the spreadsheet to ver-
ify your answers to the previous problems and to conduct comparative equilibrium experiments of your own design.
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
