In the boom years of the late 1990s, it was often said that rapidly increasing stock prices
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In the boom years of the late 1990s, it was often said that rapidly increasing stock prices were responsible for much of the rapid growth of real GDP.
Explain how this could be true, using aggregate demand and aggregate supply analysis.
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In the late 1990s the rapid increase in stock prices did indeed play a significant role in driving economic growth and this can be explained using agg...View the full answer
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