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Price Level 90 95 100 105 110 Aggregate Supply 3000 3000 3000 3000 3000 Aggregate Demand 3500 3000 2500 2200 2100 a. Sketch an aggregate

Price Level 90 95 100 105 110 Aggregate Supply 3000 3000 3000 3000 3000 Aggregate Demand 3500 3000 2500 2200 2100
a. Sketch an aggregate supply and aggregate demand diagram. b. What is the equilibrium output and price level? c. If aggregate demand shifts right by 500 units, use changes in the graph to determine new equilibrium output and price level. d. If aggregate demand shifts left by 500 units, use changes in the graph to determine new equilibrium output and price level. e. In this scenario, would you suggest using aggregate demand to alter the level of output or to control any inflationary increases in the price level?
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a. Sketch an aggregate supply and aggregate demand diagram. b. What is the equilibrium output and price level? c. If aggregate demand shifts right by $00 units, use changes in the graph to determine new equilibrium output and price level. d. If aggregate demand shifts left by 500 units, use changes in the graph to determine new equilibrium output and price level. e. In this scenario, would you suggest using aggregate demand to alter the level of output or to control any inflationary increases in the price level

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