3. The following questions relate to tongrun macroeconomic equilibrium and the stock market ho om. ssume that a hypothetical economy is at longrun macroeconomic equilibrium, with full employment and stahie prices. Suddenlj.r the stock market prices increase much more than expected, increasing investor's wealth, and causing a shortterm period of unusually,F increased optimism about the future of the economy. a. In the shortrim, will the AS curve or the all] curve shift, and in which direction will it shift? (Enter response here.) b. hi the shortrim, what will happen to the price level and quantity.T of output (real GDP)? (Enter response here.) c. Explain what, if any, impact will there liker be on workersr wages, and the reasons for this impact. (Enter response here.) d. In the long-um, which curve will shift due to the change in wages and price expectations created by the stock market boom? In which direction will it shift? [Enter response here.) e. When the economy returns to its long-term output level, how poll the new longrim macroeconomic equilibrium differ from the original equilibrium? (Enter response here.) 4. Studies indicate that net exporE and net capital outflows tend to be equal