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Hello Can you help me out. Use the AD/AS model to illustrate the following.  Draw 6 graphs by hand.  Show how the AD or the AS curve shift and in what direction (left or right).  Also state what happens to equilibrium real GDP (Y), employment, and the equilibrium price level.  [Note:  Use the SRAS curve, not the LRAS.]       A. an increase in government spending and/or transfer payments    B. restrictive fiscal policy    C. expansive monetary policy    D. increase in investment according to Keynesians    E. increase in investment according to supply-side economists    F. a stock market crash

Notice the major differences between our Keynesian Cross (in your chapter 9 appendix) and the Macro Equilibrium (AS and AD) diagram? Which model has more to offer in which situations?

Philip's Curve and AD-AS Model: Use assumptions below to set up an initial point denoted as the point A for a and b. For each of the following draw an AD/AS diagram and a corresponding Philip's curve assuming the following: 1) Natural unemployment is 5% 2) Unemployment is 4% 3) Actual GDP is 20,000 4) Full employment GDP is 10,000 a)show in both diagrams the effect of a surprise increase in inflation. b)Show in both diagrams the effect of Friedman and the Natural rate Theory(Hint:using monetary policy in the short run, but self-correction in the long run) c) Show in both diagrams the effects of a decrease in income tax on price level, output,unemployment and inflation.(Hint: Fiscal Policy) d)show in both diagrams the effect of a decrease in expected inflation.

Draw and carefully describe a graph that utilizes the Aggregate Demand/Aggregate Supply model that would illustrate the state of the aggregate economy in the United States at the very beginning of 2020 before the start of the pandemic and the 2020 recession.  Make sure that you explain your graph in your own words. You should draw your own AD/AS graph which you can then embed into your post.  Your graph needs to be clearly labeled and explained in some detail.  Make sure that your graph includes an aggregate demand (AD) curve, a short run aggregate supply (SRAS) curve, and a long run aggregate supply curve (LRAS, Potential GDP) curve.  You should clearly label both axes of the graph.

Which of the following is a major difference between the AD-AS model and the dynamic AD-AS model? The dynamic AD-AS model assumes OA. AD only includes consumption, investment, and government purchases, while the AD-AS model assumes AD includes consumption, investment, government purchases and net exports. B. the SRAS is stable and will not shift, while the AD-AS model assumes the SRAS can only change with an exogenous event such as oil price changes. OC. the economy does not experience long-run growth, while the AD-AS model assumes there is constant inflation in the economy. OD. potential GDP increases continually, while the AD-AS model assumes the LRAS does not change.

let's consider the AS/AD model. furthermore, assume two events happen at the same time: government conducts contractionary fiscal policy and the global price of energy (oil) falls. show the effects of these two events in a graph and explain what will happen to the GDP and price level?

What would the LM curve look like in a classical world? If this really were the LM curve that  we thought best characterized the economy, would we lean toward the use of fiscal policy or  monetary policy? (You may assume your goal is to affect output.

Use the following information to answer questions 8 through 11: The graph below shows the AD-AS diagram for Spain. Suppose that the economy experiences a negative aggregate demand shock denoted by the move from AD1 to AD2. Note that the new curve is shown in gray. 1200+ 1100 ALN 1000+ 900 Al 800 - 700- 600 500 400 - 309AS 200 100+ LRAS 200 Real GDP 300. 400 100 500 600 700 800 900 1000 1100 120 8. What has happened to the cyclical unemployment in Spain (select one)? a. Cyclical unemployment remains the same. b. Cyclical unemployment decreased. c. Cyclical unemployment increased. Price Level

Use the graph below to answer questions #4-5. This graph depicts the AD-AS model, which involves the Aggregate Demand curve (AD), Aggregate Supply curve (AS) and Long Run Aggregate Supply curve (LRAS). Our assumptions with this model match those from class. LRAS AS AD Assume in the multiple choice questions below that our starting point is pt A. Assume that in the months leading up to a major election, the Federal government enacts legislation that significantly increases government spending. Assume further that government pays for this spending by increasing the money supply. Based on our discussion of the self-correcting mechanism, how would this policy affect the graph in the short run and long run? Itranscript Oa. in the short run, AD will increase, but over the long run, AS will eventually shift upward as workers begin to ask for cost of living increases from their employers Ob. in the short run, AD will increase, but over the long run. AS will eventually shift leftward as workers…