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Aggregate Supply
Problems
Problem 2.1:
What are the four major models of aggregate supply?
[Solution]
Problem 2.2:
Explain the chain of events that causes the aggregate demand
curve to be upward sloping according to the sticky-wage model.
[Solution]
Problem 2.3:
Explain the chain of events that causes the aggregate demand
curve to be upward sloping according to the worker-
misperception model.
[Solution]
Problem 2.4:
Explain the chain of events that causes the aggregate demand
curve to be upward sloping according to the imperfect-
information model.
[Solution]
Problem 2.5:
Explain the chains of events that cause the aggregate demand
curve to be upward sloping according to the sticky-price
model.
[Solution]
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