IB Economics 3.2.3: Long-Run Aggregate Supply in the Monetarist / New Classical Model
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YouTubeKevin Means Business
IB Economics 3.2.3: Long-Run Aggregate Supply in the Monetarist / New Classical Model
Does the economy fix itself? In this IB DP Economics Unit 3.2.3 lesson, we dive into the Monetarist/New Classical Model. We explain why the Long-Run Aggregate Supply (LRAS) curve is vertical at the level of Full Employment, how the Natural Rate of Unemployment works, and the "magic" of the Automatic Self-Adjustment Mechanism. 00:00 ...
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