Question: a. Derive the equation for the IS curve. b. Derive the equation for the LM curve. c. Derive the equation for the BP curve. d.

a. Derive the equation for the IS curve.

b. Derive the equation for the LM curve.

c. Derive the equation for the BP curve.

d. Determine the equilibrium values of Y, r and e.

e. What are the balances in the current account and the capital account in this equilibrium?

f. Suppose now that the nominal supply of money increases to 400. What are the new equilibrium values of Y, r and e?

g. What are the balances in the current account and the capital account in this new equilibrium?

a. Derive the equation for the IS curve. b. Derive the equation

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