Question: I am having a problem with the homework for this week. I need help particularly with sketching the AS-AD curve. That is the one thing

I am having a problem with the homework for this week. I need help particularly with sketching the AS-AD curve. That is the one thing that I keep getting wrong. Please help!

I am having a problem with the homework for this week. I

Working with the AS-AD model Sketch an AS-AD diagram of your own, with an original macroeconomic equilibrium at full employment level for the economy. my the same). 1. Use your diagram to illustrate the changes of AD andlor AS, and the new equilibrium after firms' expectation. Apply Keynesian perspective on MP0 and expenditure multiplier in your graph and your written description in (2). 2. With your graph, analyze and describe what happens to the economic activities. Your written response should include at least the following: - How would people and firms respond? - What might happen in the job market, and why? - What will happen to the price level and unemployment rate, and the real GDP output in the short-run as a result? - Do you expect price level rising, falling, or stay the same? Why, or why not? Think of it in terms of input costs and wages. Apply Keynesian and neoclassical perspectives; state your economic rationales

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