Sb Gupta Monetary Economics Pdf 182 Hot _top_

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1. Show LM shift right → i falls.
2. Lower i increases investment → IS unchanged? No, IS doesn’t shift, but movement along IS occurs, Y rises.
3. In liquidity trap: LM horizontal → money demand perfectly elastic → no change in i or Y.

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Illegal PDF copies sometimes have gambling or entertainment ads inserted into page 182. If you see “Lifestyle & Entertainment” as a header on a scanned page, it is a fraudulent or repackaged document. Show LM shift right → i falls