Match List - I with List - II.
|
List - I Property |
List - II Type of Curve |
||
|
(A) |
Investment is unresponsive to interest rates |
(I) |
Relatively flat IS curve |
|
(B) |
Money demand is perfectly elastic w.r.t. interest rates |
(II) |
Vertical LM curve |
|
(C) |
Money demand is completely inelastic w.r.t. interest rates |
(III) |
Horizontal LM curve |
|
(D) |
Investment is highly responsive to interest rates |
(IV) |
Vertical IS curve |
Choose the correct answer from the options given below:
1
(A) - (IV), (B) - (III), (C) - (II), (D) - (I)
2
(A) - (IV), (B) - (II), (C) - (III), (D) - (I)
3
(A) - (1), (B) - (III), (C) - (II), (D) - (IV)
4
(A) - (III), (B) - (IV), (C) - (I), (D) - (II)