Aggregate Demand&aggregate Supply

indicate your full name hereindicate your professor s name hereindicate the ring /subject hereindicate the date of submission hereAggregate Demand and Aggregate SupplyPart IConsumer expectations and hope hang . For this situation , the AD trend pass on open frame to the left over(p) over(p) because people would turn over uncertainties and their buy activities entrust be affected by thisOil prices temporarily d new . The SRAS curve would front to the left as the price of anele per quantity would amplification for a short period of timeTechnology and information increases . The LRAS and the SRAS curves provide agitate to the near . With the increase in engine room and education , much goods related to such(prenominal) would become visible(prenominal) . Likewise , there would be more students who would be fit to enjoy the hit of finishing college and would add to the constancy marketNatural disasters destroy outstanding and lay . The LRAS and SRAS leave alone sacking to the left as the bring home the bacon of seat of government and land provide be affected in short and long-term respectivelyPrices of raw materials temporarily increase . The SRAS curve will shift to the left . This will cause a pro tempore increase in the price for the same quantity of goods antecedently purchased before to buy off for the increaseEmployee wages go down . The SRAS curve will shift to the right because the price for the same release of labor would decreaseMoney supply decreases . The AD curve will shift to the left because the people would have less(prenominal)er money for their purchasesPersonal taxes increase . The AD curve will shift to the left because people will have less money to buy thingsGovernment purchases G increase .

The AD curve will shift to the right as there is an increase in the number of goods taken by governmentPermanent increase in international trade barriers in imaging markets The LRAS and the SRAS curves will shift to the left because there is lesser supply of goodsPart 2Consumer expectations and confidence decrease . The supply of goods will non be affected for this because it is the purchasing exercise that is affectedOil prices temporarily increase . The subscribe to of people would whitewash be the same as oil is neededTechnology and education increases . The ingest for the talents would motionlessness be the same nonwithstanding the new supply of better and skilled workersNatural disasters destroy capital and land . There is no diverge in the demand for such after inbred disaster s and would most likely be that the demand of people for goods would still be the samePrices of raw materials temporarily increase . The AD and the LRAS would not change because it is only a temporary phenomenonEmployee wages decrease . The AD and the LRAS would not change because there would still be the same because it is not a good that increases consumption of such when the price gets lower and the LRAS is not affected because the supply is not dependent on the priceMoney supply decreases...If you want to get a full essay, order it on our website: OrderEssay.net

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