the as-ad model with inflationwhen we remove


The AS-AD model with inflation

When we remove assumption of constant prices to allow varying real wages. Resulting model was known as AS-AD model. Similarly we now remove the assumption that Π = Πw (but Π may only deviate from Πw temporarily and they should be equal on the average).

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Macroeconomics: the as-ad model with inflationwhen we remove
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