• Depict an economy in ASAD equilibrium. Refer to the Graphs above to determine the nature of the shock associated with the movement in the stock market from 2010-19. Show the direction of the shock graphically.

Depict an economy in ASAD equilibrium. Refer to the data on theUS Government Budget Deficit for the years 2005-09.Is your answer consistent with the GDP data provided?

Section IV - Arts & Leisure (Answer Both) Refer to the data for the US economy below, using the years 2017-2019, then answer both questions below indicating the associated parametric shifts in the associated graphs. Pro- vide a short explanation - you do not need to explain the full 1-2-3 adjustment. The economic report of the president United States, selected economic indicators Gov't budget deficit As % of GDP 1 GDP growth 2 Stockmarkets 3 Outturn v forecasts, % points Jan 1st 2005=100 2 300 Go* median -3 `Better than expected - S&P 500 - FTSE All World -6 -2 MSCI World 200 United States 100 -12 G6* median TIT -15 -6 2005 10 15 19 2005 TTT 10 15 19 2005 10 15 19 US inward FDIt 4 Business investment+ 5 Unemployment rate G As % of world total % change on a year earlier Percentage points 40 20 IN Value of deals US rate 30 10 minus G6* rate o 20 0 -1 10 Number of deals 10 - 3 TTTTTTTTTTTTTTT I TTT TTT TTT TTTTTT -20 2005 10 15 19 2005 10 15 19 2005 10 15 19 Median household income 7 Median wagess 8 Covid-19 fiscal measures 9 % change on a year earlier o increase on a year earlier 2020, as % of GDP 9 0 3 6 9 12 15 Rothbaum/Bee correction US 6 6 Japan 3 lop quartile Germany Britain Canada Bottom quartile Italy TTTTTTTTTTTTTTT 1998 2005 10 15 19 France 2005 10 15 19 Sources: BEA; Bloomberg; Datastream; Dealogic; Census Bureau; Jason Furman; *Britain, Canada, France, Germany, Italy and Japan TM&A activity +Excludes oil and mining IMF; Federal Reserve Bank of Atlanta; Federal Reserve Bank of St. Louis; OECD; $12-month moving average "Coronavirus Infects Surveys, Too", by J. Rothbaum and A. Bee; The Economist