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Economics 104B, Section 1

By Frank Lopez,2014-02-11 02:03
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Economics 104B, Section 1 Prof. Steve Fazzari Solutions to Problem Set #4 Spring, 2011 1. According to demand-side theory, firms produce what they can (or what they expect) to sell. If aggregate demand declines, firms will sell less. As a result, they produce less and employ less labor. The three main channels we discussed through which higher interest rates c..
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