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Time 1: Early 2022 Setting: Early 2022 United Sates, post-COVID economy Time 1/ Point A: captures where the economy lies as we come out of
Time 1: Early 2022 Setting: Early 2022 United Sates, post-COVID economy Time 1/ Point A: captures where the economy lies as we come out of the COVID economy Time 2 : Today Setting: October 2023 United Sates, a soft-landing? Time 2 / Point B: captures where the economy lies now after over a year and a half of inflation fighting Analysis What does the AS-AD analysis look like for the U.S. at these two points in time? That is, where are Points A and B on the AS-AD graph? Be sure fully explain why you have modelled each point as you have. Your explanation should address the unemployment, output, inflation/deflation dynamics, and interest rates at the time as well as considering the components of aggregate demand
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