a. Explain the difference between the short run aggregate supply curve and the long run aggregate supply curve. Explain how they are related. b. The price of a 1-year zero-coupon bond is $80. At maturity, the bond promises to pay a principal amount o $100. What is the corresponding yield or nominal interest rate? if the expected inflation rate is 10% what is the expected real interest rate? c. When people expect that prices will fall by 4% next year, what is the expected inflation rate? if the nominal interest rate is 3%, is the nominal interest rate greater equal or smaller than the expected real interest rate? Is this situation favorable to economic stability? d. Compare the current monetary policy of the Bank of Canada and the monetarists' monetary policy. What are the common elements? What are the fundamental differences between the two policies? e. Will each of the two monetary policies cause instability of economic activity as the inherent cost of achieving its goal