Use the accompanying diagram to answer questions a and b. a. On the exhibit provided, illustrate the

Question:

Use the accompanying diagram to answer questions a and b.

a. On the exhibit provided, illustrate the short-run effects of an increase in aggregate demand. What happens to the price level, real output, employment, and unemployment?
b. On the exhibit provided, illustrate the long-run effects of an increase in aggregate demand. What happens to the price level, real output, employment, andunemployment?