Authors: Wanchung Hu
There is an analogy between physics and economics. Here, I will use Newton’s mechanics to describe and deduct the principle of macroeconomics. Economics force is defined as F=dMV/dt=dPG/dt. The link between inflation rate, interest rate, growth rate, and money acceleration rate will also be defined. Principles of least action will be applied to the economics principle. Thus, we have new potent tools to analyze economics activities.
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