Chapter 11 Aggregate Demand, I. Homework: pp. 325-26 #1, 4a-c macromodel deriving _is_lm #1, 2, 4 Link to syllabus Note: an earlier edition had a Figure 10-9, indicating the equivalence of the IS-LM and loanable funds analyses. This explanation does not appear in this edition. Chapter 11 Aggregate Demand, I. Homework: p. 309-10 #1, 4a c macromodel deriving _is_lm #1, 2, 4

Working with IS-LM Working with IS-LM

Mankiw, Chapter 11, p. 312

Fig. 11-1, P. 304. Shifts in AD. Fig. 11-1, P. 304. Shifts in AD.

Fig. 11-2, p. 306. Planned Expenditure as a Function of Income

Fig. 11-3, p. 307. The Keynesian Cross

Fig. 11-4, p. 308. Adjustment to Equilibrium in the Keynesian Cross

Fig. 11-5, p. 309. An Increase in Government Purchases in the Keynesian Cross

Fig. 11-6, p. 311. A Decrease in Taxes in the Keynesian Cross.

Fig. 11-7, p. 315. Deriving the IS Curve

Fig. 11-8, p. 316. An Increase in Gov’t Purchases Shifts the IS Curve

Fig. 11-9, p. 318. Liquidity Preference. To be consistent with later graphs, he should have written L(r,Y). Text indicates a certain fuzziness about whether to use real or nominal interest rate.

Fig. 11-10, p. 319. A Reduction in the Money Supply in the Theory of Liquidity Preference.

Fig. 11-11, p. 321. Deriving the LM Curve

Fig. 11-12, p. 322. Reduction of the Money Supply Shifts the LM Curve Upward.

Fig. 11-13, p. 323. Equilibrium in the IS-LM Model

Fig. 11-14, p. 324. The Theory of Short Run Fluctuations.