dse 2004 18 and 19

[leon]

could someone help me with these problems

[Sris]

HEY ...

Y= cY+beta M/P+ALPHA/r+G.....(1)

M BAR/P BAR= lamda Y+EMU/r.....(2)

solve for r from d second eq.

put it in 1st eqation and differenciate Y wrt M ....1ST Q

AND DIFFERENCIATE Y wrt G....2ND Q

[leon]

Thanks a lot, it was really helpful