Please answer the following questions in the space provided below. Part 2 is due 2.5 hours from starting time. There will be a 2% penalty if the exam is submitted late on the exam day and will not be accepted the next day or subsequent days.

1. In April and May of 2022, the world price of oil increased in price significantly. The province of Alberta is a significant oil producer. Discuss this development regarding the economic factors below. (10 Marks)

Determine the effects of this change on Canada's (All question parts worth 2 Marks):

1. GDP

1. Unemployment rate.

1. Long-run Supply of oil and gas

1. Short-run Demand for oil and gas

1. Inflation