Question: Can you please help me with this question? Please be as detailed as possible. I am really confused here. Thank you. (a) Consider a closed

Can you please help me with this question? Please be as detailed as possible. I am really confused here. Thank you.

(a) Consider a closed economy in which the central bank chooses to target monetary supply. Suppose the development of Artificial Intelligence cause a substantial increase in productivity and a moderate net increase in consumption and investment in that economy. Use the AD-SRAS-LRAS diagram to discuss the effect of the changes on the economy. (13 marks)

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