A key criticism of New Keynesian models is
A) monetary policy is irrelevant.
B) they don't explain why prices are sticky.
C) old Keynesian models are better.
D) they do not fit the data as well as real business cycle models.
E) they are never used in practice.
Correct Answer:
Verified
Q1: In the New Keynesian model, suppose that
Q3: A classical objection to Keynesian sticky price
Q4: In the New Keynesian model, the central
Q5: The key difference between Keynesian and Classical
Q6: In the New Keynesian model, an increase
Q7: The advantage of government intervention when a
Q8: In the New Keynesian model, an increase
Q9: If the central bank in a New
Q10: The Yd(IS)curve is downward sloping to reflect
Q11: In the New Keynesian model, an increase
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