In the coordination failure model, suppose that consumers preferences shift so that they want to consume less

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In the coordination failure model, suppose that consumers’ preferences shift so that they want to consume less leisure and more consumption goods. Determine the effects on aggregate variables in the good equilibrium and in the bad equilibrium, and explain your results.


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Macroeconomics

ISBN: 978-0132991339

5th edition

Authors: Stephen d. Williamson

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