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The Closed Economy Model

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Make a powerpoint presentation that demonstrates the CLOSED ECONOMY MODEL. The slides build the model up one step at a time and explain how the real interest rate keeps the goods market in equilibrium. (Y = C + I(r) + G)

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The closed economy model is a simple static model that allows us to see how the real interest rate adjusts to keep ...

Solution Summary

The solution givens a definition of a Closed economy model.

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