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Show the impact on the IS curve of an decrease in government spending. Make sure to draw in the LM curve as well and illustrate the impact on the equilibrium interest rate and the aggregate output level.
United States
A country in North America consisting of 50 states and a federal district, known for its significant influence in global politics, economy, and culture.
Canada
A country in North America known for its vast landscapes, multicultural communities, and as the second-largest country by area in the world.
Mexico
A country in North America, known for its rich cultural heritage, diverse landscapes, and significant role in the global economy.
Exporter
An individual or company that sells goods or services produced in one country to other countries, contributing to international trade.
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