If money multiplier is goven and money supply given hot to find lm curve equation
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The equation shows that the equilibrium level of income depends on exogenously given autonomous variables (A) such as autonomous consumption, autonomous investment, government expenditure on goods and services, and the real money supply (M/P) and further on the size of multiplier (1/1-b).
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The equation shows that the equilibrium level of income depends on exogenously given autonomous variables (A) such as autonomous consumption,autonomous investment,government expenditure on goods and services and the real money supply (M/P) and further on the size of multiplier(1/1-b).
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