"pe = p - 1" is an expression of

Name: "pe = p - 1" is an expression of
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"pe = p - 1" is an expression of the adaptive expectations assumption, which assumes that people base their expectations for the future on past events and experiences. In this case, it suggests that people's expectations for the current price level (pe) are based on the previous period's actual price (p) minus 1. This is a common assumption in macroeconomics models of inflation expectations.

"Pe = P - 1" Is an Expression of