RDP 9212: Changes in the Characteristics of the Australian Business Cycle: Some Lessons for Monetary Policy from the 1980s and Early 1990s Equation (2.3)

\begin{array}{l} L^{D} = f (q, i, L_{-1}), & f^{'}_{1} ≶ 0; f^{'}_{2}, f^{'}_{3} < 0 \end{array}