In 18 months from october 2007 to march 2009 dow jones, Ask an Expert

Economics

In 18 months from October 2007 to March 2009, Dow Jones Industrial Average declined by more than 50 percent. Use the aggregate demandaggregate supply framework to discuss and show graphically how the “2008 stock market crash” might have affected inflation and output:

In the short run.

Describe the long-run impact on inflation and output:

If the Fed implicitly allowed its inflation target to change; and

If it retained its original inflation target.

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M91928235

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