2) In the same economy, the nominal wages are determined by the price level (), unemployment rate () and unemployment benefits () according to the function: . If the unemployment benefits amount to 0.5, write the wage relation (WS) and represent it graphically.

Principles of Macroeconomics (MindTap Course List)
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Author:N. Gregory Mankiw
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Chapter15: Unemployment
Section15.1: Ldentifyinr Unemployment
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2) In the same economy, the nominal wages are determined by the
price level (), unemployment rate () and unemployment benefits
() according to the function: . If the unemployment benefits
amount to 0.5, write the wage relation (WS) and represent it
graphically.
Transcribed Image Text:2) In the same economy, the nominal wages are determined by the price level (), unemployment rate () and unemployment benefits () according to the function: . If the unemployment benefits amount to 0.5, write the wage relation (WS) and represent it graphically.
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