Austria is one of the largest exporters of oil. At the end of 2019, the global price of oil fell substantially. For this question, treat oil as a final good, not an input into production. Begin at long-run equilibrium. this is all one question please answer everything! As a result of the fall in the price of oil, Austria's AD ( increased,decreased,remained the same,changed ambiguously), SRAS ( increased,decreased,remained the same,changed ambiguously), and LRAS ( increased,decreased,remained the same,changed ambiguously) GDP ( increased,decreased,remained the same,changed ambiguously), unemployment ( increased,decreased,remained the same,changed ambiguously) and the price level increaseddecreasedremained the samechanged ambiguously. Assume that the government intervened to resolve the output gap. As a result of the government intervention, AD ( increased,decreased,remained the same,changed ambiguously) SRAS ( increased,decreased,remained the same,changed ambiguously) and LRAS ( increased,decreased,remained the same,changed ambiguously) GDP ( increased,decreased,remained the same,changed ambiguously) relative to before the crisis,unemployment ( increased,decreased,remained the same,changed ambiguously) relative to before the crisis, and the price level ( increased,decreased,remained the same,changed ambiguously)relative to before the crisis.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Austria is one of the largest exporters of oil. At the end of 2019, the global price of oil fell substantially. For this question, treat oil as a final good, not an input into production. Begin at long-run equilibrium. this is all one question please answer everything!
As a result of the fall in the price of oil, Austria's AD ( increased,decreased,remained the same,changed ambiguously), SRAS ( increased,decreased,remained the same,changed ambiguously), and LRAS ( increased,decreased,remained the same,changed ambiguously) GDP ( increased,decreased,remained the same,changed ambiguously), unemployment ( increased,decreased,remained the same,changed ambiguously) and the price level increaseddecreasedremained the samechanged ambiguously.
Assume that the government intervened to resolve the output gap. As a result of the government intervention, AD ( increased,decreased,remained the same,changed ambiguously) SRAS ( increased,decreased,remained the same,changed ambiguously) and LRAS ( increased,decreased,remained the same,changed ambiguously) GDP ( increased,decreased,remained the same,changed ambiguously) relative to before the crisis,unemployment ( increased,decreased,remained the same,changed ambiguously) relative to before the crisis, and the price level ( increased,decreased,remained the same,changed ambiguously)relative to before the crisis.

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