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Monetarists argue that in the long run there is no Philip curve trade-off as Long Run AS is inelastic. If there is an increase in aggregate demand, then workers demand higher nominal wages. When they receive higher nominal wages, they work longer hours because they feel real wages have increased. (their price expectations are based on last year). However, this increase in AD causes inflation, and therefore, real wages stay the same. When they realise real wages are the same as last year, they change their price expectations, and no longer supply extra labour and the real output returns to its original level. Therefore, unemployment remains unchanged, but we have a higher inflation rate. Hence in long run, the Philip curve is vertical.
As per the Indian Penal Code (IPC), attempt to wage war against the state is punishable _________
Who are responsible for legal non-compliance and penalties under LLP Act?
Where an offence under The Juvenile Justice (Care and Protection of Children) Act, 2015 is punishable with imprisonment for less than three years, then ...
Every promise and every set of promise forming the consideration for each other is______________
Which article is referred to as ‘the soul of the Constitution?
Which of the following statement is correct?
Which of the following best describes the meaning of ‘discharge of a contract by novation’?
When a public officer is required by law to be appointed in writing, and when it is shown that any particular person has acted as such officer
Sec 2 (14) of the Chhattisgarh rent control Act is related to:
Under which Section of CrPC, an arrested person is to be examined by the Government Medical Officer immediately after arrest?