The figure below shows the initial situation of the asset market model and the AA schedule....

 

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The figure below shows the initial situation of the asset market model and the AA schedule. Then, Pu fell. Draw the new real money supply curve, the new Home rate of return curve, and the new AA schedule. They must be consistent. E E M³/P₁ M/P LOR.Y¹) YI AA The figure below shows the initial situation of the asset market model and the AA schedule. Then, Pu fell. Draw the new real money supply curve, the new Home rate of return curve, and the new AA schedule. They must be consistent. E E M³/P₁ M/P LOR.Y¹) YI AA