Titlebook: Aggregate Demand and Supply; A Critique of Orthod B. Bhaskara Rao (Associate Professor and Director Book 1998 Palgrave Macmillan, a divisi

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https://doi.org/10.1007/978-94-009-5494-6level of price, the rate of unemployment and the rate of inflation. As far as output and price are concerned, most macroeconomic textbooks end up suggesting that the many economic forces which lie behind their determination can be described within a demand-supply scheme. This choice is probably just

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https://doi.org/10.1007/978-94-009-5494-6in the labour market. The supply curve is vertical if the nominal wage adjusts istantaneously to any change in price; it is however positively sloped if the nominal wage is fixed; and finally, it is horizontal if the nominal wage is fixed and technology entails constant returns to labour (or price i

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Aggregate Demand and Supply Analysis: A Story in the Wrong Language,We know that the model is grossly oversimplified: that the competitive market it assumes may not exist in the industry in question and that part of the reaction may be a shift in advertising to try to change the slope of the demand curve. We know that strictly speaking it is a purely static model an

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