Based on Our Understanding of the IS- LM Model That

question 74

Multiple Choice

Based on our understanding of the IS- LM model that takes into account dynamics, we know that a decrease in government spending will cause:

• A) an immediate decrease in i and no initial change in Y.
• B) a gradual increase in i and a gradual decrease in Y.
• C) a gradual decrease in i and a gradual decrease in Y.
• D) a gradual decrease in i and a gradual increase in Y.
• E) an immediate decrease in Y and immediate increase in i.

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Definitions:

Domineering

Exhibiting overbearing control or dominance over others, often disregarding the feelings or opinions of others.

Teen Years

The period of life that follows the onset of puberty and precedes legal adulthood; generally considered to span from ages 13 to 19.

Male Sex Hormones

Chemical substances produced primarily by the testes in males that are responsible for the development of male sexual characteristics and reproductive functions; testosterone is a primary example.

Intersex Development

A condition in which an individual is born with reproductive or sexual anatomy that doesn’t fit typical definitions of male or female.