Refer to the following figure when answering the following questions.
Figure 11.3: IS Curve 
-Consider Figure 11.3. If investment is infinitely interest rate sensitive, the economy would be characterized by:
Definitions:
Low Intelligence
Refers to individuals who have below-average cognitive abilities or IQ scores.
High Energy
Refers to a state of having a great amount of physical or mental activity or vitality.
Tallness
The quality of having a greater height, often in relation to the average height for a particular group or context.
Informal Leadership Roles
Positions of influence that are not officially sanctioned within an organization, often emerging naturally among peers based on expertise, charisma, or other attributes.
Q27: Consider Figure 11.7 of the life-cycle hypothesis.
Q35: In the quantity equation, the value P<sub>t</sub>Y<sub>t</sub>
Q38: During a recession, increases in unemployment insurance,
Q41: Alternative forms of money include:<br>A) frequent flier
Q47: The nominal interest rate:<br>A) is set by
Q51: The early DSGE models assumed that TFP
Q77: Generally speaking, the rate of inflation rises
Q80: New technology, oil price changes, pork-barrel spending,
Q83: If reserve requirements are 3 percent and
Q116: If we replace the actual rate of