View
223
Download
1
Tags:
Embed Size (px)
Citation preview
Fiscal Policy with a Fixed Money Supply. Fig. 17-4, p. 478
Increase in interest rate lowers the expansionary effect on AD – this is what we have called crowding out.
Milton Friedman, 1912-2006
Link to Friedman’s bio http://www.hoover.org/bios/friedman
Most prominent advocate ofa return to free market/non-governmental policies.
Influence concretized underPresident Reagan.
Also: leading ‘monetarist’ anda Nobel Prize winner.