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1. In what relation there are M changes to Y and r;

2. That defines character of dependence L1;

3. That defines character of dependence L2.

1. The relation of changes of M both Y and r depends first of all on what M.Predpolozhim's changes occur a way that the M consists of gold coins and That M changes can take place only as a result of the increased extraction Gold in the given economic system. In this case M changes before In total are directly connected with changes Y as new gold acts as

Someone's income. The precisely same conditions are saved and in a case, when M changes

Are caused by that the government mints money for cover of the flowing Costs, - here too new money acts as someone's income. However the new The bond yield will not be established so highly that all gain of M was

It is absorbed by requirements of expansion of fund M1. Any part of money will be

To leave on purchase of securities or other assets while r will not fall to

Such level that will cause growth of size M2 and simultaneously Y, so that the new

Money will be absorbed either M2, or M1, in addition increased According to growth Y caused by falling r. We come here, Hence, furthermore to position which forms and in that case, when New money can be manufactured only by means of an establishment more Liberal conditions of the bank credit, inducing separate persons to sell To banks promissory notes or bonds in exchange for new cash Money.

Therefore an error will not accept the last case as typical. It is possible

To admit that M change acts by means of change r, which Leads to a new equilibrium state partly at the expense of change M2 and Partly at the expense of change Y, so, and M1. Gain distribution

Cash between M1 and M2 in new position of balance depends on, how

Investments react to reduction of norm of percent and the income - on increase

Investments (99). As Y partly depends from r, it is necessary, that given M change has caused so significant change r, at which Changes M1 and M2 in aggregate would correspond to M. change



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Animal Desktop Icons This icon pack brings you a variety of icons in high quality and resolution. They are good to be used for personal desktop customization, for application icons, on web pages, or even as toolbar icons.

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