Question
N1 Use the AS_AD model to explain and illustrate the short-run and long-run impacts of supply adjustment on the aggregate price level and level of
N1
Use the AS_AD model to explain and illustrate the short-run and long-run impacts of supply adjustment on the aggregate price level and level of national income of South Africa owing to improves economic growth in the Eurozone. In your answer, use the Keynesian Transmission Mechanism's chain reactions (PE, SE, NE) to show the impact of the improved economic growth followed by supply adjustment on South Africa's income levels (Y), the aggregate price level (P) and the interest rate (r)
What would the Graph look like for the question above? I saw the explanation but i need to draw the graph as well.
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