A temporary decline in productivity would cause the IS curve to
A)shift up and to the right.
B)shift down and to the left.
C)remain unchanged.
D)shift up and to the right only if people face borrowing constraints.

Question

Quizplus · Accepted Answer

The Answer of A temporary decline in productivity would cause the IS curve to
A)shift up and to the right.
B)shift down and to the left.
C)remain unchanged.
D)shift up and to the right only if people face borrowing constraints.

A Temporary Decline in Productivity Would Cause the IS Curve