What are effects of contractionary monetary policy on output

Reference no: EM13897698

Given your model of aggregate demand with three ?nancial assets (money, bonds and credit) and the indirect production function with working capital and the new Keynesian Phillips curve, what are the effects of a contractionary monetary policy on output and employment in the short-run? What are its effects in the long run? Discuss.

Reference no: EM13897698

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