Mathematics · Macroeconomic Equations
Given LM function: Y = 100 + 10i and IS function: Y = 160 - 20i. What is the equilibrium income (Y) and rate of interest (i)?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Y = 120, i = 3
- 2Y = 150, i = 2
- 3Y = 90, i = 3
- 4Y = 120, i = 2✓
Correct answer
Y = 120, i = 2
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