Elucidate both the sr and lr impact of an expansionary ad, Ask an Expert

Economics

Short run and Long run Aggregate Demand.

a) Assume an initial macroeconomic equilibrium. Elucidate both the SR and LR impact of an expansionary AD shock. Use appropriate diagrams and provide a brief real world ex of this type of shock.

b) Create another diagram; once again start from an initial macroeconomic equilibrium. describe both the SR and LR impact of a contractionary AS shock on Y. Use the appropriate diagrams and provide a brief real world ex of this type of shock.

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M921530

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