FIND THE ANSWERS

Why is money supply constant in the IS-LM model?

Answer this question

  • Why is money supply constant in the IS-LM model?


Answers

Answer #1 | 23/12 2013 08:52
The money supply isn't constant in the model.
Positive: 67 %
Answer #2 | 23/12 2013 16:38
It is policy variable which can shift the LM curve, or monetary policy.
Positive: 61 %

Possible answer

How ancient is the IS-LM model? Update ... How does the IS/LM model respond to organic GDP growth when the money supply is held constant? Why is lm curve ...
Read more
Positive: 67 %
Government spending and the IS-LM model. ... and it's also impacted by the money supply, ... But if we just hold a lot of those things constant ...
Read more
Positive: 62 %
Monetary Theory ISLM and Monetary Policy ... Why? When the money supply ... Monetary Policy in practice and the ISLM model Targeting the Money Supply vs ...
Read more
Positive: 48 %
Why is lm curve upward sloping? ... Money demand increases with money supply being constant which leads to an increase in the ... What is the IS-LM model?
Read more
Positive: 25 %

Show more results