In this chapter you will learn the Is curve, and its relation to the Keynesian Cross the Loanable Funds model the LM curve, and its relation to the Theory of Liquidity Preference how the IS-LM model determines income and the interest rate in the short run when P is fixed
Ch. 7 Violations of the ideal conditions 1 ST pecification 1.1 Selection of variables Consider a initial model. which we assume that Y=x1/1+E, It is not unusual to begin with some formulation and then contemplate adding more variable(regressors) to the model
Ch. 3 Estimation 1 The Nature of statistical Inference It is argued that it is important to develop a mathematical model purporting to provide a generalized description of the data generating process. A prob bility model in the form of the parametric family of the density functions p=f(:0),0E e and its various ramifications formulated in last chapter