If the government chooses not to intervene in the economy, what will happen to the above variables in the long run? Indicate in the space below what will happen in the transition from the short run back to the long run equilibrium and the final values of output and unemployment in the long run. Short-run Output Unemployment Prices Interest rate Real Money Bal What curves will shift when the economy moves from the short run back to the long run equilibrium. Include a graph.

If the government chooses not to intervene in the economy, what will happen to the above variables in the long run? Indicate in the space below what will happen in the transition from the short run back to the long run equilibrium and the final values of output and unemployment in the long run. Short-run Output Unemployment Prices Interest rate Real Money Bal What curves will shift when the economy moves from the short run back to the long run equilibrium. Include a graph.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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