Assume real GDP is growing at 3%, inflation is a slow and stable 2%, and spending is growing at 6%.

1. Now, assume a new robotic technology comes into the world that makes all workers more productive. Is this a shock to AD or LRAS? How will this shock impact inflation and real GDP growth?

2. Assume a pandemic hits the world and consumers tighten their belts due to uncertainty about the future. Is this a shock to AD or LRAS? How will this shock impact inflation and real GDP growth?