question archive Explain how the slope of the IS curve changes if investment does not respond to changes in the real interest rate (i

Explain how the slope of the IS curve changes if investment does not respond to changes in the real interest rate (i

Subject:EconomicsPrice:9.82 Bought3

Explain how the slope of the IS curve changes if investment does not respond to changes in the real
interest rate (i.e. instead of investment being a function of the interest rate, I(r), investment is fixed at some
level regardless of the interest rate).

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