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IS - LM: Consider an economy where: C =100 + (1/3) (Y - T). I= 800...

IS - LM:

Consider an economy where:

C =100 + (1/3) (Y - T).

I= 800 - 100r

G = 300

T = 400

(M/P)^d = 0.5Y + 300

M = 1600

P = 2

a) Derive the IS and LM curve and calculate all equilibrium values for this economy and also draw the graph.

Please show all workings in an easy to understand and clear manner.

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