Required:

A brief explanation of using multiple theories and concepts of Macroeconomics (Gross domestic product, the rate of employment, the phases of the business cycle, the rate ofinflation, the money supply, the level of government debt) to explain a particular real-life economic situation.

For example

Real life economic situation - Food prices have been rising in Canada.

Food prices have increased even more than general prices since foods are non-durable goods. Non-durable goods consumption generally does not drop much even in a recession such as the one we are in right now. Therefore, the demand ofnon-durable goodssuch as food remains high while the demand ofdurable goodssuch as cars and computers will drop dramatically during a recession. Therefore, the increase in the price of food far exceeds the increase in the price of cars and computers.