What happens to the amount of investment in the economy

Reference no: EM13687698

a) If they pursue this policy, what happens to the amount of investment in the economy?

b) Graph a AD/AS model with sticky wages AD/AS model and explain with words how the Australian government with the help of the Reserve Bank could increase government spending while keeping the economy at full employment without causing changes in the price level.

Reference no: EM13687698

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