the AD/AS model there is a trade-off between unemployment
Question # 00417724
Posted By:
Updated on: 11/03/2016 03:55 AM Due on: 11/03/2016

You know that in the AD/AS model there is a trade-off between unemployment and inflation when expansionary AD measures are used to stimulate GDP growth. As a commissioner of the economic planning commission in your country, using the AD/AS model, illustrate and discuss how complementary A measures can be used to contain any inflationary pressures stemming from the use of expansionary AD Measures during a recession.

-
Rating:
5/
Solution: the AD/AS model there is a trade-off between unemployment