Question 9 of 10 The economy of Winterspring is currently in a disequilibrium depicted by point E, on the graph. Suppose that there is monetary validation by the central bank via an increased level ~ of money supply to close the recessionary gap. 1.) Using the three-point curve drawing tool, show the new AD curve in the long-run. Label this curve AD,. 2.) Using the point drawing tool, show the long-run equilibrium that the economy will ~ move into in this case. Label this point E;. Carefully follow the instructions above, and only draw the required objects. We can see from the graph that if there is monetary validation following a ~ supply shock, the price level will be than the level it would be if the recessionary gap were relied on to reduce R This quiz: 10 point(s) possible sl CEIT ENE This question: 1 point(s) possible Submit quiz Economy of Winterspring e Real GDP (Y)