CAN YOU JUST DRAW THE GRAPH PLEASE can you please just show theIS-LM-PC model with anchored expectations model with the impact of a fall in energyprices, just that part no need to worry about the rest. ONLY THAT GRAPH NO NEED TO EXPLAIN JUST NON AI,hand drawnAssume an economy that starts with Y=Yn. Illustrate graphically and explain the impact of a fall in energy prices in theIS-LM-PC model with anchored expectations. Illustrate graphically, explain, and discuss the impact of the fall inenergy prices depending on whether the central bank, firms, or workers have the power to adjust the economy tokeep inflation at its target rate after the fall in energy prices.

The graph illustrating the IS-LM-PC model with the impact of a fall in energy prices. The graph…

Answered: can you please just show theIS-LM-PC…

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter14: Macroeconomic Policy: Tradeoffs, Expectations, Credibility, And Sources Of Business Cycles

Section: Chapter Questions

Problem 4E

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Consider the economy in the graph below and assume it is at long run equilibrium. Consider an increase in government spending. If you assume adaptive expectations the new short-run equilibrium will be in point If you assume rational expectations the econo..ny will move to point LAS AS KA K
1) According to the Phillips Curve, as unemployment falls what happens to inflation? Why? 2) According to the Phillips Curve, as unemployment rises what happents to inflaiton? Why? 3) According to the Aggregate Supply/ Aggrgeate Demand model, if AD increases what happebs to Price Level GDP and Unemployment 4) Accroding to the AS/AD model, if AD decreases what happens to PL, GDP and unemployment? 5) According to the AS/AD model if AS decreases what happens to PL GDP and unemployment? 6) Based on your answer to #5 how would you show the decrease in AS on the Philips Curve?
Suppose in the real business cycle model that there is a simultaneous temporary increase inboth current government spending and in the current money supply. Draw diagrams for thelabour, goods and money market, and the production function. Determine the equilibriumeffects of these two shocks occurring simultaneously on employment, output, consumption,investment, money, real wages, the real interest rate, and the price level. Provide a detailedeconomic analysis explaining your results with the aid of the diagrams.
In the basic New Keynesian model, suppose that there is an increase in government spending. • First, suppose that the central bank does nothing (accommodates the shock). Illustrate onthe graphs and explain what will be the effects on inflation and output? • Second, suppose that economy initially has inflation equal to the central bank’s inflationtarget and an output gap of zero. What action do you expect the central bank wouldundertake? Illustrate you answer on the graph and explain. PLEASE SHOW ALL HAND WRITTEN STEPS AND WORK!
can you provide the graph and an explanation without using Al, show the graph drawn out clearly please Assume an economy that starts with Y=Yn. Illustrate graphically and explain the impact of a fall in energy prices in the IS-LM-PC model with anchored expectations. Illustrate graphically, explain, and discuss the impact of the fall in energy prices depending on whether the central bank, firms, or workers have the power to adjust the economy to keep inflation at its target rate after the fall in energy prices.
Assume an economy is initially operating at the natural rate of output. a. Draw an AD-AS model. Label the initial equilibrium point as point A. Use the model to illustrate graphically the short-run effects on price and output when the world oil price suddenly increases. Label the new equilibrium as point B. b. What happens to inflation and unemployment in the short run? c. Label in your diagram the long-run equilibrium point if the economy recovers on its own. Name it Point C. d. What monetary policy should the Fed use to help the economy recover in the short run? Label the equilibrium point in your diagram if the Fed took the proposed action. Name it Point D.
Help me with second question please
Prompt We have been discussing major macroeconomic concepts like the ADAS Model and Fiscal Policy. This is an opportunity to apply that knowledge to a real-world scenario. Choose one of the following scenarios and identify whether it is an example of a recessionary economy or inflationary economy. Next, analyze possible Neoclassical solutions for it. Then, analyze possible Keynesian solutions for it. What would the impact on the economy be in the short-run? Long-run? Scenario 1: An increase in the unemployment rate to 7.4% has occurred. Inflation has increased causing a decline in consumer spending. Exports have declined by more than $4 billion. This has caused a decrease in GDP by 3.7%. Scenario 2: An increase in consumer and government spending has occurred. This has increased GDP by 4.4%. Currently, inflation rate has increased to 1.6%. Unemployment has remained at 5.5%. Scenario 3: An increase in the stock market by 26.5% has occurred. Companies are stockpiling the earnings…
Draw and properly label an AD-AS model to show Keynesian, intermediate, and neoclassical zones. Then briefly explain the level of unemployment, inflation and real gdp in each zone, and confirm wether all three goals of a macro economy are being achieved in each zone .
Take a look again at Figure 1 (originally from the page in the text titled "Neoclassical and Keynesian Perspectives in the AD-AS Model.") Price Level Pn Pi Pk ADK AD Yk ADn Ek Keynesian zone Real GDP Ei LRAS En SRAS Neoclassical zone Intermediate zone Yi Yn Figure 1. Keynes, Neoclassical, and Intermediate Zones in the Aggregate Supply Curve. Near the equilibrium Ek, In the Keynesian zone at the far left of the SRAS curve, small shifts in AD, elther to the right or the left, will affect the output level Yk, but will not much affect the price level. In the Keyneslan zone, AD largely determines the quantity of output. Near the equilibrium En. In the neoclassical zone at the far right of the SRAS curve, small shifts in AD, elther to the right or the left, will have relatively little effect on the output level Yn, but Instead will have a greater effect on the price level. In the neoclassical zone, the near-vertical SRAS curve close to the level of potential GDP largely determines the…
In the aftermath of the Great Recession, the Beveridge cuve in the US...A. ...has shifted to the rightB. ...has shifted to the leftC. ...has been fairly stableD. ...has been unobservable due to lack of data on vacancies
Now suppose that droughts in the Southeast and floods in the Midwest substan-tially reduce food production in the United States. Suppose you are an economistworking for the Federal Reserve.d. Use the aggregate demand–aggregate supply model to illustrate graphically the im-pact in the short run and the long run of this adverse supply shock. Be sure to label:i. the axes; ii. the curves; iii. the initial equilibrium values; iv. the direction the curvesshift; v. the short-run equilibrium values; and vi. the long-run equilibrium values.State in words what happens to prices and output in the short run and the long run.e. Use the aggregate demand–aggregate supply model to illustrate graphically your pol-icy recommendation to accommodate this adverse supply shock, assuming that yourtop priority is maintaining full employment in the economy.f. Would you recommend the same policy if your top priority was maintaining the pricestability? Why?

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