Copyright©2004 South-Western 34 The Influence of Monetary and Fiscal Policy on Aggregate Demand.
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Copyright©2004 South-Western 34 34 The Influence of Monetary and Fiscal Policy on Aggregate Demand
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Transcript of Copyright©2004 South-Western 34 The Influence of Monetary and Fiscal Policy on Aggregate Demand.
Copyright©2004 South-Western
3434The Influence of
Monetary and Fiscal Policy on Aggregate
Demand
Copyright©2004 South-Western
Figure 1 Equilibrium in the Money Market
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Figure 2a The Money Market and the Slope of the Aggregate-Demand Curve
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Figure 2b The Money Market and the Slope of the Aggregate-Demand Curve
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Figure 3a A Monetary Injection
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Figure 3b A Monetary Injection
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Figure 4 The Multiplier Effect
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Figure 5a The Crowding-Out Effect
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Figure 5b The Crowding-Out Effect