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Wells, Graeme – Journal of Economic Education, 2010
The author analyzes the inflation-targeting model that underlies recent textbook expositions of the aggregate demand-aggregate supply approach used in introductory courses in macroeconomics. He shows how numerical simulations of a model with inflation inertia can be used as a tool to help students understand adjustments in response to demand and…
Descriptors: Introductory Courses, Computer Simulation, Macroeconomics, Economic Climate