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The 3-Equation New Keynesian Model — a Graphical Exposition

Modern monetary macroeconomics is based on what is increasingly known as the 3-equation New Keynesian model: IScurve, Phillips curve and interest rate-based monetary policy rule (IS-PC-MR). This is the basic analytical structure of Michael Woodford’s book Interest and Prices

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  Macroeconomics, Keynesian

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