Suppose it is mid-2007 and the stock market has been growing
rapidly for the past 5...
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Economics
Suppose it is mid-2007 and the stock market has been growingrapidly for the past 5 years. Some economists argue that the stockmarket has become “overvalued†and thus a “crash†is imminent
How does a rising stock market affect Aggregate Demand? Showthis in an AD/AS diagram.
For a central bank that is trying to keep real GDP close toPotential explain what challenges are posed by a rapidly risingstock market
Suppose the stock market crashes how does this affect aggregatedemand? Show this in an AD/AS diagram.
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Let the economy is initially at the long run equilibrium levelat point E1 at the potential level of output in the economy Arising stock market will shift the
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