Suppose that survey measures of consumer confidence indicate a wave of pessimism is sweeping the country. If

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Suppose that survey measures of consumer confidence indicate a wave of pessimism is sweeping the country. If policy makers do nothing, what will happen to aggregate demand? What should the government do if it wants to stabilize aggregate demand? If the government does nothing, should the central bank stabilize aggregate demand? If so, how?

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Economics

ISBN: 124344

2nd Edition

Authors: N. Gregory Mankiw

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