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Explain in detail the optimal monetary policy response to a positive shock to productivity in the sticky price New Keynesian model. Illustrate with appropriate diagrams,
Explain in detail the optimal monetary policy response to a positive shock to productivity in the sticky price New Keynesian model. Illustrate with appropriate diagrams, showing the effects on the interest rate, output, the price level, employment, and the real wage
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Modern Principles of Economics
Authors: Tyler Cowen, Alex Tabarrok
3rd edition
1429278390, 978-1429278416, 1429278412, 978-1429278393
