Price Level (base year-100) 882 SRAS, URAS, URAS, IRAS, SRAS, SRAS (C AD₂ AD, AD,

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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can you provide the answer to the following question! thank you so much !!!!!!

Price Level (base year-100)
852
90
SRAS,
SRAS,
URAS, LRAS, LRAS,
KE₂
SRAS,
E₁
AD,
AD₁
200
206
212
Real Output (constant dollars)
AD₂
Notice that E (equilibrium) keeps shifting right as Aggregate Demand and Aggregate Supply shift. Which curve is influenced by fiscal policy like national defense, social security, and
healthcare. If tax revenues, help pay for these expenditures, which curve do they affect?
Transcribed Image Text:Price Level (base year-100) 852 90 SRAS, SRAS, URAS, LRAS, LRAS, KE₂ SRAS, E₁ AD, AD₁ 200 206 212 Real Output (constant dollars) AD₂ Notice that E (equilibrium) keeps shifting right as Aggregate Demand and Aggregate Supply shift. Which curve is influenced by fiscal policy like national defense, social security, and healthcare. If tax revenues, help pay for these expenditures, which curve do they affect?
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