Context of a closed economy is-lm model


In the context of a closed economy IS-LM model;

(1) Under what circumstances would the following have no effect of the level of output?

i. An increase in government spending.

ii. An open market purchase of bonds, from the public.

(2) Under what circumstances would the following have no effect on the rate of interest?

i. An increase in government spending.

ii. An open market purchase of bonds, from the public.

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Microeconomics: Context of a closed economy is-lm model
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