Supply-side inflation is caused by: OPTIONS: an increase in aggregate demand and no change in aggregate supply. a decrease in aggregate supply and no change in aggregate demand. an increase in aggregate supply and no change in aggregate demand decrease in aggregate demand and no change in aggregate supply.

In 2013, Prussia's aggregate demand curve was determined by the equation M + 0 = 4%. A change in aggregate demand means that in 2014, Prussia's aggregate demand curve was determined by the equation M + U = 7%. Using this information, draw Prussia's old and new dynamic aggregate demand curves on the graph. Inflation rate 14 13 12 11 10 9 8 7 4 3 2 1 0 -4 -3 2-1 0 1 2 3 4 5 Real GDP growth rate AD 2013 AD 2014 6 7 8 9 10 Which of the factors could have resulted in the change in aggregate demand seen between 2013 and 2014? higher consumer confidence an improvement in technology O a decrease in oil prices an increase in imports

If the central bank sells government securities from the private sector-money markets other things being equal, what would the effect be on the following? a)Aggregate demand b) Aggregate supply c)economic activity d)Inflation e)Unemployment

Is the equilibrium at full employment, inflation or recession? Price level Aggregate Demand Aggregate Potential GDP Supply 50 $700 $100 100 $600 $200 150 $450 $450 200 $300 $480 250 $220 $500 300 $150 $510 $510 350 $100 $512