Breakthrough Macroeconomics – Nominated for Nobel Prize

The below is a brief description of the “Manisian Model of aggregate supply, wages, prices and unemployment”

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From the above graph, it is visible that prices are sticky till a particular point, viz, the JAM point beyond which the fiscal policy of the government is rendered ineffective due to high marginal delta in the stability factor of politics. From that point onwards, the AS curve becomes vertical.

All comments and compliments regarding this theory are to be posted either on the Shout Box to the right or entered in the Comments link below this post.



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