Use aggregate demand (AD) and supply (AS) analysis to predict the effects of COVID-19 pandemic on inflation and output. Show and describe the effects in both the short run and the long run. (Demonstrate these effects on a graph) (Hint: First, classify the COVID-19 pandemic as a supply shock or a demand shock or both)

Use aggregate demand (AD) and supply (AS) analysis to predict the effects of COVID-19 pandemic on inflation and output. Show and describe the effects in both the short run and the long run. (Demonstrate these effects on a graph) (Hint: First, classify the COVID-19 pandemic as a supply shock or a demand shock or both)

MACROECONOMICS FOR TODAY

10th Edition

ISBN:9781337613057

Author:Tucker

Publisher:Tucker

Chapter7: Inflation

Section: Chapter Questions

Problem 13SQ

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Use an aggregate demand and supply graph to predict the effects of COVID-19 pandemic on inflation and output.
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