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    Hi all, I've attached a picture of my problem sheet above. I'm having a lot of trouble with it - I assume I need to minimise the L function using the other 2 as a constraint, but not really sure how. I've substituted the LM into the IS curve, and then assume I need to substitute that into the L function, but a bit stuck there. (for Q2). Seeing as fixing the level of the I, the CB lets the money stock adjust endogenously, we probably don't need to do the same substitution for Q1?

    Any help would be really appreciated.

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