Assume Morocco is currently operating with an unemployment rate six percent above its natural rate of unemployment.

1. Draw a correctly labeled graph of the long-run aggregate supply, short-run aggregate supply, and aggregate demand curves.
   1. Label the equilibrium price level PL₁ and the equilibrium real output Y₁.
   2. Label the full-employment level of output Y_F.
2. Where on a production possibilities curve representing full employment in Morocco would current output beon, outside, or inside the PPC?