Give ONE (1) similarity and ONE (1) difference between IS and LM curve.

(2 markah/marks)

1. Berdasarkan model IS-LM, tunjuk dan jelaskan kesan keatas tingkat pendapatan dan kadar bunga keseimbangan apabila Bank Pusat membeli sekuriti kerajaan daripada orang awam.

Based on the IS-LM model, show and explain the effects on the equilibrium levels of income and interest rate when the Central Bank purchases government securities from the public.

(4 markah/marks)

1. Pertimbangkan sebuah ekonomi dengan ciri-ciri berikut:

Consider an economy with the following features:

Penggunaan / Consumption, C = 130 + 0.5Y_d

Cukai pendapatan / Income tax, T = 20 + 0.2Y

Pelaburan / Investment, I = 200 - 600r

Perbelanjaan kerajaan / Government expenditure, G = 112

Permintaan wang benar / Real money demand, M_d/P= 50 + 0.5Y - 600r

Penawaran wang nominal / Nominal money supply, Ms = 600

Tingkat harga / Price level, P = 2

di mana Y_d mewakili pendapatan boleh guna dan rmewakili kadar bunga.

where Y_d stands for disposable income, and r for the rate of interest.

1. Terbitkan persamaan IS dan LM.

Derive the IS and LM equations.

(4 markah/marks)

1. Hitungkan tingkat pendapatan dan kadar bunga keseimbangan.

Calculate the equilibrium levels of income and rate of interest.