4.1Examine two (2) main functions of money.  4.2 Differentiate between the wealth effect and interest rate effect as reasons for the downward sloping aggregate demand curve.  4.3 In terms of the diagram below discuss demand-pull inflation Image attached. please assist

ENGR.ECONOMIC ANALYSIS
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4.1Examine two (2) main functions of money. 
4.2 Differentiate between the wealth effect and interest rate effect as reasons for the
downward sloping aggregate demand curve. 
4.3 In terms of the diagram below discuss demand-pull inflation

Image attached. please assist

General price level
PA
Pa
P₂
P₁
0
E₂₁
AD₁
Y₁
Y₂
Total production, income
AS
E₁
Y₁
AD₂
ADA
AD3
Y
Transcribed Image Text:General price level PA Pa P₂ P₁ 0 E₂₁ AD₁ Y₁ Y₂ Total production, income AS E₁ Y₁ AD₂ ADA AD3 Y
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