Draw a Saving-Investment Diagram to Show How Each of the Following

question 36

Essay

Draw a saving-investment diagram to show how each of the following changes shifts the IS curve.
(a)Future income rises.
(b)The future marginal productivity of capital increases.
(c)Government purchases decrease temporarily.
(d)The effective corporate tax rate increases.

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Definitions:

Anthony Giddens

A prominent British sociologist known for his theory of structuration, which explores the relationship between individual actions and social systems.

Ulrich Beck

A German sociologist known for his work on modernization, ecological problems, individualization, and globalization.

Zygmunt Bauman

A prominent sociologist known for his analyses of the links between modernity, globalization, consumerism, and the Holocaust.

Consciousness

The state of being aware of and able to think about oneself, one's surroundings, and one's thoughts and feelings.