"Non-market-clearing" approaches to macroeconomics include
A)the original Keynesian model,but not the New Keynesian model.
B)the New Keynesian model,but not the original Keynesian model.
C)the original and New Keynesian models.
D)neither the original nor the new Keynesian models.

Question

Quizplus · Accepted Answer

Both the original Keynesian model and the New Keynesian model incorporate non-market-clearing elements, such as price and wage stickiness, which prevent markets from clearing instantaneously.

"Non-Market-Clearing" Approaches to Macroeconomics Include