In the recent Global Economic Crisis,the end of cash-out mortgage refinancing caused

Question

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The end of cash-out mortgage refinancing would likely lead to a decrease in consumer spending and investment, which would reduce aggregate demand. This is represented by a leftward shift of the IS curve in the IS-LM model, as the IS curve reflects the relationship between the interest rate and the level of income that brings the goods market into equilibrium.

In the Recent Global Economic Crisis,the End of Cash-Out Mortgage