Nomnal G.

DP 1R>2
E)
(182
CO O00

123)x 5ev

G-1C e Ch
4 C50+ 0-4 Ya
T 10
G 200o

TR100b
t O 22

C 5o0-(Y+ TR -4Y)
50+O9(Y +100-0-2y )
50+08 (o6Y+ 1oo
10+ OGhY
E:tbvium-
AS 2 AD

Y 1304 OG4Y+ P0 4 20o

m1- G
 Thoesbment multiplier
&yc'(Y-AT)+ATR) +dI*dG

AY0.8 (AY-(02)dY) + dI
aY (0-@) (1- 2) + dI

dI

0-3

Tuestment Hlkpliew R74

S T- G -TR
4-G-TR
2(iul-1) - 200o 100

2222 - L0D

Budnet Suvplus -77-94

KossytO-25
YC+ TO. (At oeyuiltbvi)
y at by + bTR bty + T+O
y-br bt) aT+ bTR
Y at T+CtLTR
- b0-))
y 5D+70+200 + 0(1oo)
1- -D25)

-OG

Toest ment Hulbtpliev

-1-
A dr
1-00-0:25)

-O-

25
Neo Tusesomat Hulipiev 2.5
B-Aact Tplue
B y -C TR
25(ooo) -2oo 1 0 0
2250 S00
2 50

Ne Budaet Suvpus -50 (

Lhe marainal pvopenityto Cobwme, b , imeveases he tevmm
-4ereabes (as t does uot ehamge) Henee eeveases aud
(all others ave const)
as texm ib im tRe denamiato, Y (catltbvinm ineme) ncveases
Thws B nbreases (a t, T ,TR ave damstaut) Cm
 L9hen t | , (-+) i cana to zevo and he entive deno miuatav
become eaual to 1 evebve, dY eanals dI , amd 4e muldiplie
eaual tol C
At eiibrimm
y C+T G
-
y Aa+ bY -bT¥T+a
y abY) T+ G
y-
Y
- 5

y-C T+ G
(y) T)G
y-a- by T()+C
y Y At I()+ C
-

Nos, b(mpe) (als, this

stl lead to a n meresoe
( - ) , ad
halla deevnse m Y(eaL:bvum tmcome) , as tts n he denam-

No, e RBT ses

mometavy polie t
pump move wmome to the
ecDho
Haepply ) Lmcvea6e6
Heney a r k e t -

HSmevreases
Henee, he muoney maket okiek as

Pvesiaslu at eaibvinmm oith vav, sH-H) "|

has haa ex cesb bu
ebod mavket , beiua its mivwov mage
theveve
haexcebb demamd waus.
ws, people conuert their money nto bonds
owd dne to is aceeb deuaund ofbands,oiee LH

veepvaoaetimdip ate amevest C)

eods wwaket-
Ootva to a l due to -heiv vecapvocal elationship, T
msestment (IL)) ises
Weub, eiw is a stimulaerom tRe demand bide as 4he vise n T alees
avexall esbendituve
Thevelove wos eve i ox cess demanmdimthe anadeby me ket: To enilib
ate ta, utame (Y) ises
Y ibe

L(
 T T(y
T e T4 porti
Ty.)+ 6(Y)D
T, dy + I d 5ydy+ 5dr

dy

T,T A o (T Cde positisel slaped)

he TS Cuvue slopes upoavds the an epambionr Poe
,

wwdevtaken bthe govt t l hase e oppotte effeet (Y i l Au) as

he unlbipltev becames neqatioe
'The key-eia madel s me salid

Stabiltby

LH euts abude

Classtaal Adjnedmend Heskaute

TS Belos - *t
Above
LH: Belbus- yt
Abue- YL
A he setand eoe, we qadualy (step si)ave asay fram elbiua
Bt the tL ease e sbavt at a pait, aftev step -wtse
marvkels
adnestmente, we alusays y e each eniEbium