Re: Macro
Posted by komal on Jun 16, 2012; 5:45am
URL: http://discussion-forum.276.s1.nabble.com/Macro-tp7577658p7577856.html
@tim : firstly, increase in autonomous saving does not mean that investment has increased by same amount, u should not make this assumption,
seconly even if u assume that whatever is now saved is invested then , as consumpption will decrease by the same amount, then there should be no change in IS curve.
Answer should be b