What would be effect of sequestration in neoclassica model

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a. What would be the effects of sequestration in the fixed-price Keynesian model? Show graphically and explain.

b. What would be the effects of sequestration in the classical model? Show graphically and explain.

c. What would be the effect of sequestration in the neoclassical model? Show graphically and explain. Assume the economy starts at full employment.

Reference no: EM13157387

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