Finding equilibrium levels of Income , interest rate, consumption , investment, demand for money #DU

in this video we will solve numerical on finding the equilibrium level of interest rate , transactionary demand for money ,speculative demand for money level of income from the given IS and LM equations

Given: C = 102 +0.7Y, I = 150 - 100i, M, = 300, M, = 0.25Y, and M. = 124-200i. Find (a) the equilibrium level of income and the equilibrium rate of interest and (b) the level of C, I , Mt,
and Mz, when the economy is in equilibrium.

we know that Commodity market equilibrium (IS) exists where
Y=C+I
=102 + 0.7Y + 150 - 100i
Y-0.7Y = 252- 100i
0.3Y +100i-252 =0 .........eqn 1

Also we know that Monetary equilibrium (LM) exists where
Money supply = money demand

Ms= Mt+Mz
300= 0.25Y + 124-200i
0.25Y-200i - 176 = 0 ........eqn 2

the whole process of finding the solution has explained in very simple laguage

This video will help you to crack any
Competitive exam for Economics like UGC NTA NET ECONOMICS, GATE ECONOMICS, UPSC , Delhi School of Economics, MA ENTRANCE ECONOMICS
JAM ECONOMICS

Check our playlist
Algebra in Economics

GATE ECONOMICS

Mathematical Economics

Integration in ECONOMICS

Matrix Algebra in Economics

GRAPHING IN ECONOMICS

Microeconomics

Comparative Statics in Economics

INPUT OUTPUT MODEL

IS-LM MODEL

You can Join
On Facebook
Facebook page
On Telegram

#MathematicalEconomics
#JAMECONOMICS
#ImportantQuestionsInEconomics
#MAEntranceEconomics
#GateEconomics
#QuantitativeEconomics
#EconMath
#GATEEconomics
#NETEconomics
#DSU
#KU

[NataliaMeleg]

You literally explained this topic better than any other professor or tutor, hats off to you sir thank you

[siddraabid]

Thanks bhai it's very helpful for me

[shikhayadav]

This is really too much helpful ♥️ . Thanks for this .

[stankoone]

Without YT I would have dropped out of college