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Explain the Connection Between the Vertical Long-Run Aggregate Supply Curve

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Essay

Explain the connection between the vertical long-run aggregate supply curve and the vertical long-run Phillips curve.


Definitions:

Uncontrollable Disease

A disease that cannot be effectively managed or restrained through medical intervention or lifestyle changes.

Replacement Level

The replacement level is the number of children that each woman must have on average for population size to remain stable. Ignoring any inflow of population from other countries and any outflow to other countries, the replacement level is 2.1.

Total Fertility Rate

The average number of children born to a woman over her lifetime within a population.

Population Size

The total number of individuals within a defined area or group at a specific time.

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