Question: 17. Problem: Given the following data about the monetary sector of the economy: Ma = 0.4Y - 80r Ms = 1200 million Where, Ma is

17. Problem: Given the following data about the monetary sector of the economy: Ma = 0.4Y - 80r Ms = 1200 million Where, Ma is demand for money, Y is the level of income, r is the rate of interest and Ms is the supply of money. Derive the equation for LM curve and give the economic interpretation of this curve

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