Consider the IS-LM-PC model (shown below), and | Chegg.com
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Factors that effect IS and AD Change in the MPC (cy) or MPS (sy): e.g. an increase in MPC (lower MPS) increases the multiplier and make the IS shift right. - ppt
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Consider the IS-LM-PC model (shown below), and | Chegg.com
IS-LM Model - Definition, Explained, Macroeconomic Assumptions