Question: I am having a difficult time with this lat portion of the class. Can you please help specifically with 1a to demonstrate how the rest

I am having a difficult time with this lat portion of the class. Can you please help specifically with 1a to demonstrate how the rest should look?

I am having a difficult time with this lat portion of the

Specify whether expansionary or contractionary fiscal policy would seem to be most appropriate in response to each of the situations below. and explain why. (2 points) Sketch an AD-AS diagram for each of the situations. Your graph should include the vertical potential GDP, and the aggregate demand and aggregate supply curves. Explain what happen to the price level, employment level, and output gap after the appropriate fiscal policy is used. (2 points) . A recession. The economy is in the flat aggregate supply zone. . A stock market collapse that hurts consumer and business confidence. Extremely rapid growth of exports. Currently, the economy is producing at potential GDP

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