Lecture Macroeconomics (9/e): Chapter 11 - David C. Colander

Chapter 11 - The structural stagnation policy dilemma. After reading this chapter, you should be able to: 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.