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Lecture 1: Constructing a theory of equilibrium unemployment

Lecture 1: Constructing a theory of equilibrium unemployment. I. A macroeconomic framework. The traditional Keynesian view. Unemployment is a short-term phenomenon It is due to nominal price rigidities, which create an imbalance between aggregate supply and aggregate demand

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Wage aspirations - PowerPoint PPT Presentation

Lecture 1: Constructing a theory of equilibrium unemployment