In the graph of Figure I, the annual growth rate of the GDP of the United States economy is presented since the first quarter of 2004, while, in the graphs of Figure II, three different scenarios of the relationship are represented between demand and aggregate supply that reflect different situations of economic growth. According to what was discussed in the module, answer the following questions in detail.

1. Using the shifts in the aggregate demand curve in each of the three graphs in Figure II, explain the aggregate consumption and investment function.
2. Explain in detail what is happening in Graph A of Figure II and, after examining the data in the graph of Figure I, identifies in what period of time this situation is occurring.
3. Explain in detail what is happening in Graph B of Figure II and, after examining the data in the graph of Figure I, identify in what period of time this situation is occurring.
4. Explain in detail what is happening in Graph C of Figure II and, after examining the data in the graph of Figure I, identify in what period of time this situation is occurring.

\fGrafica A Grafica B Grafica C NGP OAL OAL NG NG=4 ONL DA DA DA LLE

Answer rating: 100% (QA)

The Answer is in the image, click to view ... View the full answer