In the short run, the increase in government pounding on Infrastructure causes the price love to the price level people expected and the quantity of output to the natural level of output. The increase in government spending will cause the unemployment rate to the natural rate of unemployment as the short run. Again, the following graph shows a hypothetical economy experiencing long-un equisbrien at the aspected grice level of 120 and natural output level of #900 billions, prior to the Increase In government spending on Infrastructure. Along the transition from the short on to the long run, price-level expectations will and tha curve will shift to the