Macroeconomics

Part 5: Long Question on AS-AD Model Comparative Statics of a decrease in A (20 points) Show what our ASAD model predicts will happen to the variables in the table below in both the short- run (SR) and long-run (LR) in response to a decrease in A. Show all of your work. No points will be awarded for unjustied answers. Use back of page if necessary. All graphs should be fully labeled. P Y r C I W/P N SR LR