price of beef price of chicken 2011 $3 $5 2012…

price of beef price of chicken 2011 $3 $5 2012 $6 $10 2013 $6 $10 CPI basket:  10 lbs beef and 10 lbs chicken. The CPI basket cost is $160 in 2012. 2012 is the CPI base year. Based on this information, the CPI for 2013 is:  

Using the loanable funds model, analyze the effects of a gov…

Using the loanable funds model, analyze the effects of a government budget deficit. Assume that the the government wasn’t previously running a budget deficit.  What happens to the equilibrium values of the interest rate and investment if the government starts running a budget deficit?