山口経済学雑誌

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山口経済学雑誌 Volume 57 Issue 6
published_at 2009-03

Aggregate supply and demand analysis reconsidered

総需要・総供給分析再考
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C050057000604.pdf
Descriptions
In usual macroeconomic textbooks prices and real GDP are determined at the intersection of AD curve with AS curve. And in the long run AS curve shifts and long-term equilibrium is accomplished. At that point full employment is achieved. I think that the analysis cannot explain the real economic situationl. I will present another macroeconomic model. In the model the long-term equilibrium is accomplished by the shift of AD curve. And unemployment exists at that point.