2-3 PARAGRAPHS FOR EACH QUESTION PLEASE

1. How does the interaction between aggregate demand and aggregate supply determine the level of economic output and prices in the short and long run, and what are the implications for policy makers seeking to stabilize the economy? To what extent do changes in labor force participation, productivity, and wage growth affect aggregate supply and demand in an economy, and how can policymakers address issues related to labor market dynamics?

2. Why is GDP per capita an important measure of economic well-being, and how can variations in GDP per capita across countries be explained by factors such as institutions, human capital, and technological progress? Give an example of two distinct country's GDP per Capita.