Multiple Choice
Which explanation for persistent unemployment used by the original Keynesian model is no longer needed in the new Keynesian model?
A) shifting IS curve
B) a fixed nominal wage
C) aggregate supply curve is a function of the nominal wage
D) rigid wages and prices
Correct Answer:

Verified
Correct Answer:
Verified
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Q133: One fundamental difference between New Classical and
Q134: Figure 17-3<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2645/.jpg" alt="Figure 17-3
Q135: A central concept of New Keynesian macroeconomics
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