(20%) Explain and graphically illustrate how each of the following are likely to affect the natural...

(20%) Explain and graphically illustrate how each of the following are likely to affect the natural rate of unemployment (NAIRU) and the real wage:

a. A new law banning people from seeking employment before age 18.

b. Tight counter-inflationary monetary policy creates a recession.

c. The government gives tax brakes to businesses that curb price increases.

Expert Solution

Rahul Sunny answered 1 year ago

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