In a study of this phenomenon, Phillip Cagan assumed the adaptive expectation hypothesis whenhe predicted the anticipated val
In a study of this phenomenon, Phillip Cagan assumed the adaptive expectation hypothesis whenhe predicted the anticipated value of this. In a 1972 lecture, James Tobin argued that a low positivevalue of this quantity could benefit the economy. Robert Lucas showed how imperfect informationamong firms allows this to influence output in his islands model. By raising the number of necessarybank transactions, this phenomenon can incur (*) shoe leather costs. The Fisher equation equates thenominal interest rate to the real interest rate plus the expected value of this. The anticipated value for thisphenomenon is plotted on the Phillips curve, which shows the tradeoff between this and unemployment.For 10 points, name this increase in the overall price level.
In a study of this phenomenon, Phillip Cagan assumed the adaptive expectation hypothesis whenhe predicted the anticipated value of this.
inflation rate [accept hyperinflation rate until "1972"]