Problem $2$ Aggregate Demand and Aggregate Supply

Instructions: Complete the following. Submit this by uploading the file, picture or scan.

Note: The AD $/$ AS is the Goods and Services Model

Using $AD$ and $AS,$ show and explain the following situations:

Goods and Services Market

Goods and Services Market

a$.$ Inflation rises, unemployment rises.

b$.$ Output rises, unemployment rate

falls and the price level rises.

Consumer Confidence has fallen. Explain the results using the Goods and Service Market.

Country A has decided not to export a necessary resource to the US$.$ Explain the impact on the

AD$/$AS

Illustrate the Goods and Services Market. Show AS$,$ AD$,$ Equilibrium, Full Employment, Inflation,

Recession.

please fill out the graphs with answers.