Re: IGIDR - MACRO

Posted by get.the.lens.right on Apr 11, 2018; 8:44am
URL: http://discussion-forum.276.s1.nabble.com/IGIDR-MACRO-tp7608988p7608996.html

When Money Supply increases the interest rate should fall >> Positive effect on Investment. Therefore a cannot be an option.
As for b, higher investment leads to higher output and employment hence (due to high unemployment).
Hence b and c >> Option (2)