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Show in the AS-AD model why an expansionary fiscal policy cannot apparently reduce the natural rate of unemployment

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Show in the AS-AD model why an expansionary fiscal policy cannot apparently reduce the natural rate of unemployment
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Solution 1

The AS-AD model, or Aggregate Supply-Aggregate Demand model, is a macroeconomic model that explains price level and output through the relationship of aggregate demand and aggregate supply. It's used to illustrate the effects of fiscal and monetary policy, among other things.

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