1.1. Here is a puzzle. A country with a relatively small positive aggregate demand shock (a shift...
Question:
1.1. Here is a puzzle. A country with a relatively small positive aggregate demand shock (a shift outward in the AD curve) may have a substantial economic boom, but sometimes countries that have massive increases in the AD curve (hyperinflation countries like Germany before W odd War II , e.g.) don't seem to have massive economic booms. Why does a small AD increase sometimes raise GDP much more than a giant AD increase?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Question Posted: