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Now review pages 538-539 of your textbook (which gives an overview of how monetary policy can be used to adjust AD and AS). Connect this
Now review pages 538-539 of your textbook (which gives an overview of how monetary policy can be used to adjust AD and AS). Connect this information with what your read in this article, (Links to an external site.) and then explain how the Fed was trying to influence the AD/AS graph. In other words, explain: 1. Was the Fed attempting to shift AD or AS? (explain your reasoning) 2. Which direction was the Fed trying to shift AD or AS? (explain your reasoning) 3. Which of the specific shifters would cause the shift of the intended policy (you can include more than one if you prefer)? (explain your reasoning)
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