Question: Help me answering these Changes in the AD-AS Model in the Short Run Topic 3.6- Changes in the AD-AS Model in the Short Run Price

Help me answering these Changes in the AD-AS Model in the Short Run

Topic 3.6- Changes in the AD-AS Model in the Short Run Price Level LRAS SRAS Answer the following questions (assume that each PL event takes places independently) 1. What is the short-run equilibrium price level and output? Yz ,. PL. 2 PL, 2. Identify the short-run equilibrium price level and output if consumption increased? 3. Identify the short-run equilibrium price level and output after a negative supply shock? PL , 4. What happens to output and unemployment if investment falls? PL , 5. Use the graph to explain the difference between demand-pull and costs-push inflation. AD Y Y 2 Y 2 Y GDP R

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