(a) Explain why LM curve shift towards the right if demand for money decreases (say due to decrease in uncertainty).
(b)   Every point above the LM curve imply excess supply of money and income will increase to bring the money market back into equilibrium. True/false? Explain your answer.\r\n

Answer rating: 100% (QA)

LM curve aThe LM curve the equilibrium focuses on the lookout for cash shifts f... View the full answer