Philips Curve.

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Consider following Philips Curve.∆πt = ν¯Y˜t + o¯a. Draw Philips curve. (x-axis: Y˜t, y-axis: ∆π) What is the slope and y-intercept of the curve?b. What is the impact of the ν¯ change? Should government perform a more aggressive policy tostabilize the inflation rate with high ν¯ or low ν¯? If so, why?c. Suppose there is […]