Using the AD-AS model demonstrate the implications for the economy if the a global recession does emerge at the end of 2023/early 2024.

Illustrate and briefly discuss 3 scenarios using the three alternate AS curves (as per module 3).

Remember to:

clearly identify your equilibrium positions

the logic/reasoning/assumptions that underlie each AS curve

why you have shifted the curve you have shifted to demonstrate the impact of a global recession on Australia

how the economy transitions to the new equilibrium, and

the implications for inflation, economic activity and unemployment.