What are the implications of IS and LM curves? What are the factors on which the position and the slope of IS and LM curves depend?
Introduction The IS-LM model is a fundamental framework in macroeconomics used to analyze the interaction between the real and monetary sectors of the economy. Developed by John Hicks and Alvin Hansen, it represents equilibrium in both the goods market (IS curve) and the money market (LM curve). This model helps understand how fiscal and monetary […]