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Economics - Financial Markets 16 Online
OpenStudy (anonymous):

(All flow variables have period of 1 year) output; P = price level; C = nominal aggregate consumption = 1000 + 0.8W +0.6R; I = nominal investment = 4000; L = employment (in labor hours per year); L* = full employment = 2000; w = hourly money wage = 10 ; W = nominal aggregate wage; R = nominal non-income wage; Y/L = a = 16; PY = C + I; Price level (is more than or equal to that a full employment; it is not a full employment)= a factor m (=4/3) times the wage cost per unit of aggregate output. I need Y* at N* (2000) and P* at N*. (also the method cause i'm mucking something...) Thank you.

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