E1/1102-Fall2015-Final Page 12 of 14 Name: (b) (3 pts) Using the model show how the economy can go from 2003 to 2004 r (c) (3 pts) Starting from part (b) Show how the economy moves to 2006 and write one sentence as to why this happens. [Any more than one sentence will receive 0 credit) (d) (2 pts) From 2006 to 2007' the economy was stimulated by an increase in the money supply which lead to. higher GDP growth. What was the cost of this increased growth? . H'. E1/1102-Fall2015-Final Page 11 of 14 * Name: (10\") 2. ASAD model: The graph below shows the inflation rates and GDP growth rates of Trumpland over a number of years. The following question requires you to illustrate various scenarios in the AS-AD modeli Ensure you label all axes and use the values given in the graph when illustrating your answers. Further draw a new graph For each question! 3% 0% 3% 6% 9% GDP growth (a) (21315) 2003 was the year in which Trumpland was in equilibrium illustrate this using the ASAD model taught in class