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Consider the effects of the Corona pandemic (both on the AD and AS). Starting with...

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Accounting

Consider the effects of the Corona pandemic (both on the AD and AS). Starting with an initial long-term equilbrium, show these effects by drawing the graphs for: a) Goods Market; and b) Short and Long Run Phillips Curves under the two different scenarios: i. No action is taken ii. Suppose that a monetary policy action is taken to overcome the resulting problem.

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