Question: Redraw Figures 1 2 . 1 1 a and 1 2 . 1 1 b to illustrate the effects on the resulting equilibrium level of
Redraw Figures a and b to illustrate the effects on the resulting equilibrium level of income from each of the following changes:
A greater sensitivity of interestrelated consumption and investment expenditure to changes in the interest rate.
A larger multiplier in the aggregate expenditure model
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