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IS-LM Model : Government Spending and the IS-LM model

Sal Khan

Abstract

Consumption function. Marginal propensity to consume and multiplier. Keynesian Cross and IS-LM model. In this tutorial, we begin thinking about the impact of real interest rates on planned investment and output. We then use this to help us plot the IS cur. Source: Khan Academy (www.khanacademy.org), used under the Creative Commons Attribution-NonCommercial-ShareAlike (CC BY-NC-SA) license. All Khan Academy content is available for free at www.khanacademy.org. Khan Academy does not endorse the World Public Library.

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