IS Curve Exogenous Variables and Parameters
Table 2
-In the text,the equivalence of the goods market equilibrium in the IS model to the equilibrium in which desired investment equals desired saving is demonstrated,assuming that both government purchases and net exports are zero.Demonstrate the equivalence when both G and NX are non-zero.

Question

IS Curve Exogenous Variables and Parameters
Table 2 
-In the text,the equivalence of the goods market equilibrium in the IS model to the equilibrium in which desired investment equals desired saving is demonstrated,assuming that both government purchases and net exports are zero.Demonstrate the equivalence when both G and NX are non-zero.

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The Answer of IS Curve Exogenous Variables and Parameters
Table 2 
-In the text,the equivalence of the goods market equilibrium in the IS model to the equilibrium in which desired investment equals desired saving is demonstrated,assuming that both government purchases and net exports are zero.Demonstrate the equivalence when both G and NX are non-zero.