Refer to Article 1: "The Cycle Turns: Monetary Policy in India"

After reading Article 1, apply the AD-AS model (consistent with Macro Map Table summary from class) to the different aspects in India's economy as described in the article. In your answer include the following:

a)Based on the information in the article, indicate the key non-price determinant(s) (i.e. C, Ig, G, Xn, and/or production costs) and the appropriate subcategories (i.e. consumer wealth, taxes etc) that are changing and shifting either AD and/or AS.(For example, if the article stated that the personal income tax rate increased, then the answer would include information like the following: "an increase in the personal income tax rate will decrease consumption (C ).As a result, AD would (increase or decrease) which is a shift to the(left or right).This analysis should only include the determinants discussed in this article.

b)After you complete (a) and consider all of the resulting shift(s)specific to the article, determine whether the resulting new equilibrium Real GDP is higher, lower or indeterminate and whether the new equilibrium Price is higher, lower or indeterminate.