macroeconomics
Title: macroeconomics
Category: /Law & Government/Government & Politics
Details: Words: 964 | Pages: 4 (approximately 235 words/page)
macroeconomics
Category: /Law & Government/Government & Politics
Details: Words: 964 | Pages: 4 (approximately 235 words/page)
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showed last 75 words of 964 total
point M than point K. Because of aggregate demand * aggregate supply we have excess demand in goods market.
This shows that if a point is selected in quadrant IV there is excess supply in money market and excess demand in goods market.
If we put the results in a table;
Quadrant Money Market Goods Market
I Excess Supply Excess Supply
II Excess Demand Excess Supply
III Excess Demand Excess Demand
IV Excess Supply Excess Demand