Canvas Question 3 Determine the equilibrium income and interest rate given the following information about the commodity market: C = 0.8Y + 100 1= -20r + 1000 and the money market: MS = 2375 L= 0.1Y L2= -25r + 2000 What effect would a decrease in the money supply have on the equilibrium levels of Y and r? Format Table Paragraph BIUA e Tev DELL

Principles of Economics 2e
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Author:Steven A. Greenlaw; David Shapiro
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Chapter4: Labor And Financial Markets
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Question 3
Determine the equilibrium income and interest rate given the following information about the commodity
market:
C = 0.8Y + 100
|= -20r + 1000
and the money market:
MS = 2375
L, = 0.1Y
L2 =-25r + 2000
What effect would a decrease in the money supply have on the equilibrium levels of Y and r?
Edit Format Table
12pt v Paragraph
BIU
DELL
prt s
9,
o a decrease in the money suin
Transcribed Image Text:Canvas Question 3 Determine the equilibrium income and interest rate given the following information about the commodity market: C = 0.8Y + 100 |= -20r + 1000 and the money market: MS = 2375 L, = 0.1Y L2 =-25r + 2000 What effect would a decrease in the money supply have on the equilibrium levels of Y and r? Edit Format Table 12pt v Paragraph BIU DELL prt s 9, o a decrease in the money suin
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