graphs - 5. A graph that illustrates the trade-off between...

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4. A model that illustrates a sequence of business fluctuations, which occur over a period of years in a regular cyclical pattern. 4. A model that illustrates a sequence of business fluctuations, which occur over a period of years in a regular cyclical pattern: Business Cycle 1. peak: business activity reaches a temporary max with nearly full employment and near capacity output 2. recession/contraction/slump: decline in RGDP, employment and trade lasting for more than 6 months 3. trough: bottom of the recession/contraction period 4. recovery/expansion: when output and employment are expanding toward Un
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Unformatted text preview: 5. A graph that illustrates the trade-off between U and inflation. 6. A graph illustrating the both the long run and short run state of the economy with RGDP at different price levels. 5. A graph that illustrates the trade-off between U and inflation. Phillips Curve shows why the changes on the AD curve results in the changes in GDP and U 6. A graph illustrating the both the long run and short run state of the economy with RGDP at different price levels. AD/AS Graph...
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