Booms and recessions (III): aggregate supply and demand - The AD-AS model: basics
5 important questions on Booms and recessions (III): aggregate supply and demand - The AD-AS model: basics
What is the formula for the AS-curve?
What happens to real exchange rates if one slides down the AD-curve and how does that work?
In what five situations does the AD-curve move up under fixed exchange rates?
world interest rate or expected depreciation fall
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What equalities hold at the intersection of the LAS curve and the AD curve?
Y=Y*
The point right of the LAS curve are what real wages? (unions)
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