Exam 2: Business Cycles, IS-LM Model, and Open Economy Model

A temporary unemployment which exists during the period of the transfer of labor from one occupation to another is called

Who develop the ISLM open economy model?

IS curve represents the equilibrium of ............. sector.

The goods market is otherwise referred to as:

ISLM model was basically .............. sector model:

Original IS-LM model is a .......... model.

The relationship between income and interest in the LM curve is:

ISLM is used to determine:

ISLM model was firstly developed by …………

The position of IS curve depends on---

For an open economy model which curve is added IS-LM?

Increase in Government expenditure shift IS curve to:

One of the limitations of the ISLM model was:

The tax cut shift the IS curve to the:

When more workers are engaged in a work than actually required to work, it is called

Decrease in money supply shift the LM curve to the:

The relationship between income and interest in the IS curve is:

The curve which relates the level of income with the rate of interest which is determined by money- market equilibrium corresponding to different levels of demand for money is known as