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Tue 23 Feb, 2016 01:41 am
I have 2 problems that I already solved but I am not able to compare them. Problems #1 and #2 have the same equilibrium level of income (20000) and the interest rate (0.05). The only difference is that in a problem #2 the public increases its demand for money, so the bank responds by increasing the money supply. How can you compare the equilibrium level of income of #1 and #2 if it has the same values?