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1 increased government spending - PowerPoint PPT Presentation

Ch. 3 : National Income Determination (II)

Ch. 3 : National Income Determination (II). (Simple Keynesian Model). C. C=Ca + cYd. Y. I. I=Ia. Y. G. G=Ga. Y. X. X=Xa. Y. T. T=Ta. Y. M. M=Ma + mY. Y. AE. AE=C+I+G+(X-M). Y. Y*. $. S+T+M. I+G+X. Y. Y*. Fiscal Policy. Discretionary Fiscal Policy

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1 increased government spending - PowerPoint PPT Presentation

Ch. 3 : National Income Determination (II)