Keynesian aggregate demand curve

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Assume a model with a Keynesian aggregate demand curve and an ordinary upward-sloping aggregate supply curve.   Using this model, please show the effects of the following events.  Describe what happens to the price level and real GDP.

            a.  deflation.

            b.  an increase in labor costs due to increases in nominal wages.

            c.  an increase in household wealth.

            d.  a decrease in the value of the dollar compared to other currencies.

Reference no: EM13888718

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