Suppose the economy of Hawkland is initially at full employment. Currently real GDP is $20 trillion, the price level is 120, the money wage is $36/hour, the full employment quantity of labor is 300 billion hours per year, and the current unemployment rate is 6%. Draw a fully labeled graph depicting the aggregate goods and services market in Hawkland. Be sure to label all axes and include numerical values for variables on the axes where relevant. Provide a brief explanation to the side and show any necessary calculations. Label any relevant curves with a zero (0, for example: AD0) and use a zero in a circle to clearly label the initial equilibrium

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Chapter1: Making Economics Decisions
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Suppose the economy of Hawkland is initially at full employment. Currently real GDP is $20 trillion, the
price level is 120, the money wage is $36/hour, the full employment quantity of labor is 300 billion
hours per year, and the current unemployment rate is 6%.

Draw a fully labeled graph depicting the aggregate goods and services market in Hawkland.
Be sure to label all axes and include numerical values for variables on the axes where relevant. Provide
a brief explanation to the side and show any necessary calculations. Label any relevant curves with a
zero (0, for example: AD0) and use a zero in a circle to clearly label the initial equilibrium

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