Table 1 shows the Consumption, Savings and Tax schedule for a series of gross income.

Table 1: Consumption, Savings and Tax

Gross Income (Y)	Consumption (C)	Savings (S)	Tax (T)
0	100	-100	0
500	(a)	142.50	25
1000	665	(b)	50
(c)	1,330	570	100
4,000	(d)	(e)	200

a. Using the AD-AS model, explain the consequences of an economy producing outputs at a level that is higher than the natural level of outputs.

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