please help.
In the year 2000, the country of Economika was in longrun macroeconomic equilibrium, as shown in the graph below. The full-employment level of GDP in 2000 was $5 billion. In 2001, the following events occurred. (1) Growth in factors of production and technology caused potential GDP to rise to $6 billion. (2) Consumers became more pessimistic about the future, and thus aggregate demand growth was not large. (3) There was a sharp and unexpected increase in the price of oil. Using the line tool, draw three lines to show the possible positions for LRAS, SRAS, and AD in 2001, using the information above. Properly label each line. Note: if you are not prompted for labels, you have used the wrong drawing tool. Price level LRASO Real GDP (Y, billions) The following graph shows an economy in long-run macroeconomic equilibrium. All the usual assumptions of the dynamic demand and supply model hold. Firms and workers expect there to be a decline in the ination rate in the coming year Use the line tool to draw three lines: 1) the new LRAS, 2) the new SRAS, and 3) the new AD line in the next ye_ar. Properly label each line. Note: if you are not prompted for labels, you have used the wrong drawing tool. Use the point tool to identify the new price level and equilibrium level of real GDP. Label this point 'B'. Price level LRAs0 Real GDP (Y) The graph to the right shows the aggregate demand curve, short-run aggregate supply curve, and the long-run potential output for an economy 1.) Use the line drawing tool to show the short-run effect of monetary policy that causes an increase in interest rates. Properly label this line. 2.) Use the point drawing tool to show the new equilibrium price level and real GDP in the shortrun. Label this point 'B'. Carefully follow the instructions above, and only draw the required objects. Price Level LRAS1 SRAs1 AD1 Real GDP (Y) 9,0 The graph on the right shows the economy in long-run equilibrium at point A. Assume that there is a large increase in demand for Canadian exports. 1.) Use the line drawing tool to show the resulting short-run equilibrium on your graph. Label any new aggregate demand or aggregate supply curve as AD2, SRA82 or LRA82 as appropriate. 2.) Use the point drawing tool to locate the new short run equilibrium point. Label this point B. Now consider the adjustment of the economy back to longrun equilibrium. 3.) Use the line drawing tool to show the resulting long-run equilibrium on your graph. Label any new aggregate demand or aggregate supply curve appropriately. 4.) Use the point drawing tool to locate the new long- run equilibrium point. Label this point C. Carefully follow the instructions above, and only draw the required objects. Price level (GDP Deator, 2005 = 100) ,o LRAs1 SRAS1 I2: AD1 Real GDP (trillions of 2005 dollars) In a closed economy, the MP0 is 0.60. Investment changes by - 100. The change in equilibrium GDP is D
