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In: Economics

Assume only your first most important policy decision is put into place. How would you illustrate...

  1. Assume only your first most important policy decision is put into place. How would you illustrate your first most important policy decision using the Aggregate Demand and Aggregate Supply Model? How will the Price Level, Real GDP, and Employment be impacted in the short-run if this first most important policy decision was put into practice? How might the Price Level, Real GDP, and Employment be impacted in the long-run if this first most important policy decision was put into practice? Be detailed, specific, and clear. In this scenario, the most important policy decision is an increase in carbon emission taxes

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