Question: QUESTION 1 In general, the war will give the impact to the economy. By using the aggregate demand and aggregate supply and other related theories

QUESTION 1 In general, the war will give the impact to the economy. By using the aggregate demand and aggregate supply and other related theories economics, do explain the following questions:

a- Is war good or bad for the economy?

b- What is the impact on the output and price level?

c- What is the impact on the aggregate demand?

QUESTION 2 By using an appropriate example from the Malaysian productive sectors, explain the meaning of the multiplier and the main impact from this scenario.

QUESTION 3 In general, purchasing power parity is one of the important theory in economy. By using the price of one good and currency in economy as an example, briefly explain the role of location in this theory.

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