Question
Q.1.1 Assume that the South African economy is experiencing high inflation of above 10%. Explain, with the use of the AD-AS model, how the Reserve
Q.1.1
Assume that the South African economy is experiencing high inflation of above 10%.
Explain, with the use of the AD-AS model, how the Reserve Bank can reduce the inflation to its' target range.Use a graph to expand.
Q.1.2
List five main sources of cost-push inflation.
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Macroeconomics
Authors: Andrew B. Abel, Ben S. Bernanke, Dean Croushore, Ronald D. Kneebone
6th Canadian Edition
321675606, 978-0321675606
