Watch and read the link above. In light of this discussion critically evaluate the debate over “structural stagnation”, technological change, and globalization.
Differentiate a structural stagnation from a standard recession.
Demonstrate in the AS/AD model how globalization can mask inflationary pressures caused by expansionary policies.
Explain the role of globalization and the financial bubble in creating a structural stagnation problem.
Outline the policy choices that policy makers have to deal with structural stagnation.
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