Booms and recessions (IV): dynamic aggregate supply and demand - Equilibrium income and inflation: the DAD curve
5 important questions on Booms and recessions (IV): dynamic aggregate supply and demand - Equilibrium income and inflation: the DAD curve
What does the μ represent in the DAD curve under flexible exchange rates and what is it's algebraic expression?
μ = m - m-1
Why does μ have a coefficient of exactly 1 in the DAD curve under flexible exchange rates?
What is the formula for the DAD curve under fixed exchange rates?
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Why do ΔiW and Δεe have an coefficient of 1 in the DAD curve under fixed exchange rates?
When does real exchange rate remain unchanged under fixed exchange rates?
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