Economics · Macroeconomics
What does the IS curve represent in a diagram?
- 1Equilibrium between interest rates and unemployment
- 2Equilibrium between price level and output
- 3Equilibrium in the money market (Money Demand = Money Supply)
- 4Equilibrium in the goods market (Savings = Investment)✓
Correct answer
Equilibrium in the goods market (Savings = Investment)
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