EBK MACROECONOMICS
EBK MACROECONOMICS
10th Edition
ISBN: 9780134896571
Author: CROUSHORE
Publisher: VST

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Notice the major differences between our Keynesian Cross (in your chapter 9 appendix) and the Macro Equilibrium (AS and AD) diagram? Which model has more to offer in which situations?
Question Two a) Use the Keynesian Cross to derive the IS curve
Why would a Keynesian policy response not make much sense in response to a minor recession like the one that occurred in 1990? Please make response as simple as possible.
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