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a An e ' . . _ , . ( ) COHOmy 18 currently operating in long~run equrlibrium. Draw a graph of its short-run aggregate

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a An e ' . . _ , . ( ) COHOmy 18 currently operating in long~run equrlibrium. Draw a graph of its short-run aggregate supply, aggregate demand and lon I I I I , grun a re at l . i _ emplo em outpm YF' gg g e supp y Label the equrlibrium p1 ice level and the full b u . u .( )31f the natural rate of unemployment 111 this economy IS 4 percent and the frictional unemployment rate 13 percent, what must be the structural unemployment rate? (C) Draw a new graph that shows an economy operating with an inflationary gap. Include the SRAS, AD, and LRAS. Label the equilibrium price level, real output level, and full employment output Yr. td) "ljhe economy from part (c) is in short-run equilibrium. If the aggregate quantity of output demanded in this economy IS $3 trillion, what must the aggregate quantity of output supplied? (e) Is the long-run aggregate supply for this economy below, equal to, or above $3 trillion? Explain. Option 2 Read each direction below carefully and make certain you fully label any graphs, including equilibrium price level and aggregate output. (a) An economy is currently operating in a recession. Draw a graph of its shortrun aggregate supply, aggregate demand, and longrun aggregate supply. Label the equilibrium price level, the real output level, and the llemployment output Yp. (b) If the natural rate of unemployment in this economy is 5 percent and its cyclical unemployment is 4 percent, what must be its actual unemployment rate? (6) Draw a new graph that shows an economy operating with an inationary gap. Include the SRAS, AD, and LRAS. Label the equilibrium price level, real output level, and full employment output Yp. (d) The economy in part (c) is in short-run equilibrium. If the aggregate quantity of output demanded in this economy is $5 trillion, what must the aggregate quantity of output supplied

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