- Use the figure to answer the following questions. Assume that the economy initially is operating at price level 120 and real output level $870. This output level is the economy's potential (full-employment) level of output. Next, suppose that the price level rises from 120 to 130. pints 160 eBook AS 3 AS 150 Print AS References 140 130 Price level 120 110 100 90 810 830 850 870 890 910 930 950 Real output (dollars) Instructions: Enter your answers as a whole number. a. By how much will real output increase in the short run? $1 Prey. 1 of 4 Next > Grav Type here to search 62 0 W 6 5 6 9 2 N DELL E5 F6 F8 F12 F3 F7' F9 F10 F11 F2 UX 9 a 2 O Q W E R U A S D F G H K Z X B N M O100 90 810 830 850 870 890 910 930 950 ints Real output (dollars) eBook Instructions: Enter your answers as a whole number. Print a. By how much will real output increase in the short run? References $ In the long run? b. Instead, now assume that the price level drops from 120 to 110. Assuming flexible product and resource prices, by how much will real output fall in the short run? $ In the long run? $ . What is the long-run level of output at each of the three price levels shown? $ Prev. 1 of 4 Next > Hill be here to search O Hi 62 0 W 6 76 9 2 N DELL F10 F11 F12 F4 F6 F7' F8 O o a 5 2 3 W E R Y U O Q S D F G H J K A Z X C B N M