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Rational Expectations Theorists
Economists who believe that individuals make predictions about the future based on all available information, thus affecting their economic decisions.
Downwardly Flexible
Refers to the ability of wages or prices to decrease in response to market conditions.
Anti-Recession Policies
Government measures intended to combat economic downturns, involving fiscal and monetary actions to stimulate the economy.
Equation of Exchange
An economic equation that describes the relationship between the money supply, velocity of money, price level, and an economy's output.
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