Describe the main differences between the sticky-price-model

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Reference no: EM13981948

Describe the main differences between the Sticky-Price-Model and the Incomplete-Information-Model. Focus specifically on

i) The assumption regarding the market structure for the firms

ii) The assumption regarding the level of information of the actors in the model

iii) The implication for the main story: Describe the link between the price level and output that arises from the model in your own words. Basically, answer the question "Why does the AS curve slope upward?" twice: once for each model.

Reference no: EM13981948

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