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Assignment #1: Draw the aggregate
expenditure graph. Show where the
equilibrium is. Explain why this is an equilibrium.
Assignment #2: Draw the leakage-injection
graph.Show where the equilibrium is.
Explain why this is an equilibrium.
Assignment #3: Draw the aggregate
expenditure graph. Show the multiplier
effect. Explain what is taking place in the multiplier effect.
Assignment #4: Outline the process
called multiplier effect. Show how it is
calculated. Mention complex multipliers.
Assignment #5: Explain the
lesson of the paradox of thrift. Show how it ties
in with the concept of multiplier.
Assignment #6: Draw a consumption
line in the aggregate expenditure graph.
Explain what Keynes is showing with it.
Assignment #7: Draw a consumption
line in the aggregate expenditure graph.
Is it stable? What causes it to shift?
Assignment #8: How is saving presented
in the Keynesian model? Where and how
is it shown in the aggregate expenditure graph?
Assignment #9: Explain how investment
is presented in the Keynesian model.
Mention its determinants. Why are the determinants external
to the model.
Assignment #10: Explain why investment
in Keynesian view is independent of
income.