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Which school of thought combines the Keynesian concept of rigid prices with the rational expectations theory?

Which school of thought combines the Keynesian concept of rigid prices with the rational expectations theory?

A) Classical and Neoclassical

B) Keynesian

C) Monetarist

D) New Keynesian




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1 Answer

  1. The school of thought that combines the Keynesian concept of rigid prices with the rational expectations theory is:

    D) New Keynesian