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Describe Canadian inflation also money supply growth rate.

In the 1970s people had become accustomed to high inflation. In 1979, Bank of Canada decided to fight inflation also decreased the money supply growth rates. Many people thought which Bank of Canada's action would cause a recession. Is this thinking consistent with the aggregate demand also aggregate supply model? Elucidate. According the to monetary misperceptions theory Illustrate what should have happened to output if the inflation rate fell relative to Illustrate what people expected? Elucidate.

Business Economics, Economics

  • Category:- Business Economics
  • Reference No.:- M916515

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