The classical dichotomy and monetary neutrality are represented graphically in economics by: a vertical long-run aggregate-supply curve.
The long-run aggregate-supply curve.
In order to have an understanding of both short-run or long-run economic fluctuations and how the economy moves from short to long-run, economists need to use the aggregate supply and aggregate demand model.
In Economics, the labels that are used for the axes of an aggregate-supply curve are real-domestic output for the horizontal axis and price level for the vertical axis.
In conclusion, a vertical long-run aggregate-supply curve is used to graphically represent the classical dichotomy and monetary neutrality.
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