(Explain what happens to the position of the nation's
aggregate demand or aggregate supply curve, the short-run level of
equilibrium output, and the nation’s price level if:
(a) Consumer confidence
increases.
(b) Stock prices decline 40
percent.
(c) Oil prices drop to $12 per
barrel.
(d) The central bank sharply increases
interest rates.
(e) Government increases the minimum
wage).
(Hint: Example: AS shifts to the right, RGDP declines, P
increases)
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