MAGGD_SCLASS

MAGGD_SCLASS - 1 The Aggregate Demand & Supply Model SR...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: 1 The Aggregate Demand & Supply Model SR and LR How did the financial crisis of 2007 lead to the recession of 2007-2009? Financial shock - Housing bubble bursts Bank and shadow bank assets fall, uncertain value, high leverage erodes capital, fear, uncertainty cause bank-run inability to roll over short term financing used for long-term positions Lending slows/stops business problems Wealth falls housing prices, stock prices Fall in aggregate demand C, I down Amplified domestically and internationally What s Doing in the News? 2 Course Issues 9/15 last day to add/drop Last Thursday clicks dont count Images, chat rooms, how to do hw Iclicker.com support/register NetID, serial # Smith not 123006789 Smith not 123006789 Cant read serial number Support/find your id Learning Resource Centers http://lrc.rutgers.edu/contact.shtml 1 point (of 1000) EC signed question sheet ODE 4 SR (Keynesian) versus LR (Classical) In the LR we are all dead...
View Full Document

This note was uploaded on 02/20/2012 for the course 220 301 taught by Professor Carlshu-minglin during the Fall '10 term at Rutgers.

Page1 / 6

MAGGD_SCLASS - 1 The Aggregate Demand & Supply Model SR...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online