Conceptually what is the Natural Rate of Interest? What is a good estimate of its level...

Conceptually what is the Natural Rate of Interest? What is a good estimate of its level today? Break down your overall estimate into an estimate of each of its component parts. Which famous economist gave us the Concept of the Natural Rate of Interest?

*Note: I've posted this question before but the response was incomplete :( please provide as much detail and answer every part of the question if possible, thank you!

Expert Solution

Rahul Sunny answered 1 year ago

The natural rate of unemployment and the natural level of output. Suppose that the firms’ mark-up...

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