Question: Based on the IS-LM model, when Mds is perfectly inelastic to interest rate, then A. an expansionary fiscal policy is fully effective. B. an

Based on the IS-LM model, when Mds is perfectly inelastic to interest rate, then A. an expansionary fiscal policy is fully effective. B. an expansionary fiscal policy is less effective. C. an expansionary monetary policy is fully effective. D. an expansionary monetary policy is less effective.

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