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Persistently high unemployment rates in Germany have led to a long-running controversy on the causes of the unemployment problem. This paper aims to re­view the contribution of Keynesian and monetarist theories to this controversy and explores empirically their implications for the explanation...
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The aim of the present study is to analyze empirically the significance of the monetarist explanation of inflation in … effects of money supply on inflation while, by contrast, structural factors involving wheat, oil and import prices show more … substantial effects. The effective control of inflation requires policy makers to smoothen the supply of food and to moderate …
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Lucas (1972) was a paper that permanently changed the course of macroeconomics, even though its "money supply surprise" model lost its central place in the area within a decade because of empirical difficulties. However, Lucas's novel methodology, based on clearing markets and rational...
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