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The spaceships of Bob and Alice sit side-by-side at a spaceport. They measure them and both agree that each spaceship is 26 meters long. Alice takes off and Bob observes Alice’s spaceship go by at a constant velocity such that the Lorentz factor is 2. Alice measures the length of Bob’s ship as she flies by. What value does she get?
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This year, country B held presidential elections and the government of the incumbent president temporarily increased public expenditure to win greater political support. Assuming that Ms, P, P*, Y*, and T were exogenously given, what kind of impact must this policy have had on the IS curve in country B?
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