Explain the efficiency wage model

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Reference no: EM133253782

Asspignment:

Explain why the Efficiency Wage model is able to deliver the (new) Keynesian result that money is not neutral in the short run while also addressing the criticism that previous Keynesian models lacked micro-foundations of utility and profit maximization. Please use no more than 8 numbered bullet points with one sentence each to deliver your answer.

Reference no: EM133253782

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