Indicate whether the following factor will affect aggregate demand {AD} or aggregate supply [AS] and whether the effect would be an increase or a decrease. Then indicate what will happen to the price level and the level of Real GDP and what type of equilibrium will result assuming that the economy is initially in long-run equilibrium. AD AS P Real GDP Equilibrium a} A decrease in the nominal wage rate. : c c c e b} A decrease in exports. : s e c) A decrease in the exchange rate. e t e e d} The discovery of vast new oil field in Northern 3.0. e) An increase in government spending. : no effect decrease increase Indicate whether the following factor will affect aggregate demand {AD} or aggregate supply {AS} and whether the effect would be an increase or a decrease. Then indicate what will happen to the price level and the level of Real GDP and what type of equilibrium will result assuming that the economy is initially in longrun equilibrium. AD AS P Real GDP Equilibrium a] A decrease in the nominal wage rate. : e e e I _ recessionary gap [3] A decrease In exports. inflationary gap _ c] A decrease in the exchange rate. A v d] The discovery of vast new oil field in Northern 6 3.0. e] An increase in government spending. 6 $ : c e 4) 4} 4' {9