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10 cards from this deck
Keynesian cross diagram
Income (Y)(Y)(Y)
Points where expenditure equals income
C+I+G+(X−M)C + I + G + (X - M)C+I+G+(X−M)
C=C0+extmpcimesYC = C_0 + ext{mpc} imes YC=C0+extmpcimesY
MPC < 1; not all income spent, some saved
Where AD line intersects 45° Y=EY=EY=E line
Rise in CCC, III, GGG, or XXX; fall in MMM
Change in income larger than initial change in AD
Equilibrium income below full employment (Ye<Yf)(Y_e < Y_f)(Ye<Yf)
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