True/False
Unlike new Keynesian models, new classical models assume rational expectations.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q24: In the new Keynesian model, the cost
Q25: If output starts below the natural rate,
Q26: Sargent is one of a number of
Q27: Explain why the new Keynesian model is
Q28: Show a graph of AS-AD where expansionary
Q30: Lucas stressed the importance of fiscal policy
Q31: What are the implications about the long
Q32: The short-run effect of unanticipated policy changes
Q33: If government spending rises less than expected,
Q34: Reputation plays a role in the credibility