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When aggregate demand shifts to the right, what happens to price level, output,andunemployment in the short-run?(Note that employment is notexplicitlyshown on the AD/AS model but
- When aggregate demand shifts to the right, what happens to price level, output,andunemployment in the short-run?(Note that employment is notexplicitlyshown on the AD/AS model but will generally move in the same direction as output.)Does the answer depend on whether the economy is currently in a recession or at its potential GDP?
- Whenthe short-runaggregate supply shifts to the right, what happens to price level, output,andunemployment?
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