SlideShare a Scribd company logo
1 of 1
Download to read offline
#1 Suppose are in an open economy with a negatively sloped AD curve, a positively sloped SRAS
curve, and an economy currently operating at the long run equilibrium. Explain how each of the
following would affect (a) the short run and (b) the long run equilibrium values of both P and Y.(b)
An exogenously caused increase in the marginal propensity to save.

More Related Content

More from amir421526

1 The proton motive force PMF generated by the electron t.pdf
1 The proton motive force PMF generated by the electron t.pdf1 The proton motive force PMF generated by the electron t.pdf
1 The proton motive force PMF generated by the electron t.pdf
amir421526
 
1 The Great Wars In a land far far away there lived a mig.pdf
1 The Great Wars In a land far far away there lived a mig.pdf1 The Great Wars In a land far far away there lived a mig.pdf
1 The Great Wars In a land far far away there lived a mig.pdf
amir421526
 
1 Testereyi bileyin Kendini lmne altrma yilemeniz ye.pdf
1 Testereyi bileyin Kendini lmne altrma yilemeniz ye.pdf1 Testereyi bileyin Kendini lmne altrma yilemeniz ye.pdf
1 Testereyi bileyin Kendini lmne altrma yilemeniz ye.pdf
amir421526
 
1 The cell cycle Mitosis At the beginning of mitosis the.pdf
1 The cell cycle  Mitosis At the beginning of mitosis the.pdf1 The cell cycle  Mitosis At the beginning of mitosis the.pdf
1 The cell cycle Mitosis At the beginning of mitosis the.pdf
amir421526
 

More from amir421526 (20)

1 The Successiveapproximation converter has a longer conve.pdf
1 The Successiveapproximation converter has a longer conve.pdf1 The Successiveapproximation converter has a longer conve.pdf
1 The Successiveapproximation converter has a longer conve.pdf
 
1 The skin is made up of the and the 2 convey sensations w.pdf
1 The skin is made up of the and the 2 convey sensations w.pdf1 The skin is made up of the and the 2 convey sensations w.pdf
1 The skin is made up of the and the 2 convey sensations w.pdf
 
1 The proton motive force PMF generated by the electron t.pdf
1 The proton motive force PMF generated by the electron t.pdf1 The proton motive force PMF generated by the electron t.pdf
1 The proton motive force PMF generated by the electron t.pdf
 
1 The prebabiity that both bults are red is 2 The erobasic.pdf
1 The prebabiity that both bults are red is 2 The erobasic.pdf1 The prebabiity that both bults are red is 2 The erobasic.pdf
1 The prebabiity that both bults are red is 2 The erobasic.pdf
 
1 The production possibilities frontier I Suppose Japan pro.pdf
1 The production possibilities frontier I Suppose Japan pro.pdf1 The production possibilities frontier I Suppose Japan pro.pdf
1 The production possibilities frontier I Suppose Japan pro.pdf
 
1 The patient a 12yearold boy shows several areas of to.pdf
1 The patient a 12yearold boy shows several areas of to.pdf1 The patient a 12yearold boy shows several areas of to.pdf
1 The patient a 12yearold boy shows several areas of to.pdf
 
1 The Port of Prince Rupert is BCs second largest port an.pdf
1 The Port of Prince Rupert is BCs second largest port an.pdf1 The Port of Prince Rupert is BCs second largest port an.pdf
1 The Port of Prince Rupert is BCs second largest port an.pdf
 
1 The paternal age appears to play an important role on the.pdf
1 The paternal age appears to play an important role on the.pdf1 The paternal age appears to play an important role on the.pdf
1 The paternal age appears to play an important role on the.pdf
 
1 The meteorological Department has issued a statement ment.pdf
1 The meteorological Department has issued a statement ment.pdf1 The meteorological Department has issued a statement ment.pdf
1 The meteorological Department has issued a statement ment.pdf
 
1 The idea underlying _____ is that satisfaction results fr.pdf
1 The idea underlying _____ is that satisfaction results fr.pdf1 The idea underlying _____ is that satisfaction results fr.pdf
1 The idea underlying _____ is that satisfaction results fr.pdf
 
1 The GI tract from esophagus to anus is composed of four t.pdf
1 The GI tract from esophagus to anus is composed of four t.pdf1 The GI tract from esophagus to anus is composed of four t.pdf
1 The GI tract from esophagus to anus is composed of four t.pdf
 
1 The Great Wars In a land far far away there lived a mig.pdf
1 The Great Wars In a land far far away there lived a mig.pdf1 The Great Wars In a land far far away there lived a mig.pdf
1 The Great Wars In a land far far away there lived a mig.pdf
 
1 The election tansport chain uses hilhtomgy eloctrans fro.pdf
1 The election tansport chain uses hilhtomgy eloctrans fro.pdf1 The election tansport chain uses hilhtomgy eloctrans fro.pdf
1 The election tansport chain uses hilhtomgy eloctrans fro.pdf
 
1 The demand function for 2 types of goods is known Q1Q25.pdf
1 The demand function for 2 types of goods is known Q1Q25.pdf1 The demand function for 2 types of goods is known Q1Q25.pdf
1 The demand function for 2 types of goods is known Q1Q25.pdf
 
1 Testereyi bileyin Kendini lmne altrma yilemeniz ye.pdf
1 Testereyi bileyin Kendini lmne altrma yilemeniz ye.pdf1 Testereyi bileyin Kendini lmne altrma yilemeniz ye.pdf
1 Testereyi bileyin Kendini lmne altrma yilemeniz ye.pdf
 
1 The COVID19 pandemic represents one of the biggest chall.pdf
1 The COVID19 pandemic represents one of the biggest chall.pdf1 The COVID19 pandemic represents one of the biggest chall.pdf
1 The COVID19 pandemic represents one of the biggest chall.pdf
 
1 The cell cycle Mitosis At the beginning of mitosis the.pdf
1 The cell cycle  Mitosis At the beginning of mitosis the.pdf1 The cell cycle  Mitosis At the beginning of mitosis the.pdf
1 The cell cycle Mitosis At the beginning of mitosis the.pdf
 
1 The Chicago Mercantile Exchange has launched a financial .pdf
1 The Chicago Mercantile Exchange has launched a financial .pdf1 The Chicago Mercantile Exchange has launched a financial .pdf
1 The Chicago Mercantile Exchange has launched a financial .pdf
 
1 The cells shown in the diagram below are in various stage.pdf
1 The cells shown in the diagram below are in various stage.pdf1 The cells shown in the diagram below are in various stage.pdf
1 The cells shown in the diagram below are in various stage.pdf
 
1 The bones within the middle ear are the least dense bone.pdf
1 The bones within the middle ear are the least dense bone.pdf1 The bones within the middle ear are the least dense bone.pdf
1 The bones within the middle ear are the least dense bone.pdf
 

Recently uploaded

Beyond the EU: DORA and NIS 2 Directive's Global Impact
Beyond the EU: DORA and NIS 2 Directive's Global ImpactBeyond the EU: DORA and NIS 2 Directive's Global Impact
Beyond the EU: DORA and NIS 2 Directive's Global Impact
PECB
 
1029-Danh muc Sach Giao Khoa khoi 6.pdf
1029-Danh muc Sach Giao Khoa khoi  6.pdf1029-Danh muc Sach Giao Khoa khoi  6.pdf
1029-Danh muc Sach Giao Khoa khoi 6.pdf
QucHHunhnh
 
Ecosystem Interactions Class Discussion Presentation in Blue Green Lined Styl...
Ecosystem Interactions Class Discussion Presentation in Blue Green Lined Styl...Ecosystem Interactions Class Discussion Presentation in Blue Green Lined Styl...
Ecosystem Interactions Class Discussion Presentation in Blue Green Lined Styl...
fonyou31
 

Recently uploaded (20)

Interactive Powerpoint_How to Master effective communication
Interactive Powerpoint_How to Master effective communicationInteractive Powerpoint_How to Master effective communication
Interactive Powerpoint_How to Master effective communication
 
Introduction to Nonprofit Accounting: The Basics
Introduction to Nonprofit Accounting: The BasicsIntroduction to Nonprofit Accounting: The Basics
Introduction to Nonprofit Accounting: The Basics
 
Accessible design: Minimum effort, maximum impact
Accessible design: Minimum effort, maximum impactAccessible design: Minimum effort, maximum impact
Accessible design: Minimum effort, maximum impact
 
General AI for Medical Educators April 2024
General AI for Medical Educators April 2024General AI for Medical Educators April 2024
General AI for Medical Educators April 2024
 
Web & Social Media Analytics Previous Year Question Paper.pdf
Web & Social Media Analytics Previous Year Question Paper.pdfWeb & Social Media Analytics Previous Year Question Paper.pdf
Web & Social Media Analytics Previous Year Question Paper.pdf
 
Call Girls in Dwarka Mor Delhi Contact Us 9654467111
Call Girls in Dwarka Mor Delhi Contact Us 9654467111Call Girls in Dwarka Mor Delhi Contact Us 9654467111
Call Girls in Dwarka Mor Delhi Contact Us 9654467111
 
Advanced Views - Calendar View in Odoo 17
Advanced Views - Calendar View in Odoo 17Advanced Views - Calendar View in Odoo 17
Advanced Views - Calendar View in Odoo 17
 
Mattingly "AI & Prompt Design: The Basics of Prompt Design"
Mattingly "AI & Prompt Design: The Basics of Prompt Design"Mattingly "AI & Prompt Design: The Basics of Prompt Design"
Mattingly "AI & Prompt Design: The Basics of Prompt Design"
 
Grant Readiness 101 TechSoup and Remy Consulting
Grant Readiness 101 TechSoup and Remy ConsultingGrant Readiness 101 TechSoup and Remy Consulting
Grant Readiness 101 TechSoup and Remy Consulting
 
Software Engineering Methodologies (overview)
Software Engineering Methodologies (overview)Software Engineering Methodologies (overview)
Software Engineering Methodologies (overview)
 
Beyond the EU: DORA and NIS 2 Directive's Global Impact
Beyond the EU: DORA and NIS 2 Directive's Global ImpactBeyond the EU: DORA and NIS 2 Directive's Global Impact
Beyond the EU: DORA and NIS 2 Directive's Global Impact
 
Mattingly "AI & Prompt Design: Structured Data, Assistants, & RAG"
Mattingly "AI & Prompt Design: Structured Data, Assistants, & RAG"Mattingly "AI & Prompt Design: Structured Data, Assistants, & RAG"
Mattingly "AI & Prompt Design: Structured Data, Assistants, & RAG"
 
IGNOU MSCCFT and PGDCFT Exam Question Pattern: MCFT003 Counselling and Family...
IGNOU MSCCFT and PGDCFT Exam Question Pattern: MCFT003 Counselling and Family...IGNOU MSCCFT and PGDCFT Exam Question Pattern: MCFT003 Counselling and Family...
IGNOU MSCCFT and PGDCFT Exam Question Pattern: MCFT003 Counselling and Family...
 
Unit-IV- Pharma. Marketing Channels.pptx
Unit-IV- Pharma. Marketing Channels.pptxUnit-IV- Pharma. Marketing Channels.pptx
Unit-IV- Pharma. Marketing Channels.pptx
 
1029-Danh muc Sach Giao Khoa khoi 6.pdf
1029-Danh muc Sach Giao Khoa khoi  6.pdf1029-Danh muc Sach Giao Khoa khoi  6.pdf
1029-Danh muc Sach Giao Khoa khoi 6.pdf
 
Sanyam Choudhary Chemistry practical.pdf
Sanyam Choudhary Chemistry practical.pdfSanyam Choudhary Chemistry practical.pdf
Sanyam Choudhary Chemistry practical.pdf
 
BAG TECHNIQUE Bag technique-a tool making use of public health bag through wh...
BAG TECHNIQUE Bag technique-a tool making use of public health bag through wh...BAG TECHNIQUE Bag technique-a tool making use of public health bag through wh...
BAG TECHNIQUE Bag technique-a tool making use of public health bag through wh...
 
Sports & Fitness Value Added Course FY..
Sports & Fitness Value Added Course FY..Sports & Fitness Value Added Course FY..
Sports & Fitness Value Added Course FY..
 
Ecosystem Interactions Class Discussion Presentation in Blue Green Lined Styl...
Ecosystem Interactions Class Discussion Presentation in Blue Green Lined Styl...Ecosystem Interactions Class Discussion Presentation in Blue Green Lined Styl...
Ecosystem Interactions Class Discussion Presentation in Blue Green Lined Styl...
 
Holdier Curriculum Vitae (April 2024).pdf
Holdier Curriculum Vitae (April 2024).pdfHoldier Curriculum Vitae (April 2024).pdf
Holdier Curriculum Vitae (April 2024).pdf
 

1 Suppose are in an open economy with a negatively sloped A.pdf

  • 1. #1 Suppose are in an open economy with a negatively sloped AD curve, a positively sloped SRAS curve, and an economy currently operating at the long run equilibrium. Explain how each of the following would affect (a) the short run and (b) the long run equilibrium values of both P and Y.(b) An exogenously caused increase in the marginal propensity to save.