140 130 120 110 100 90 80 70 60 50 40 30 Price Level AS AD AD1 0 80 160 240 320 400 480 560 640 720 800 Real GDP (billions of dollars) Instructions: Enter your answers as a whole number. If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers. a. How much does aggregate demand need to change to restore the economy to its long-run equilibrium?
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The current level is where AD1 intersects the vertical axis, and the long-run equilibrium is where the vertical line intersects the horizontal axis. Show more…
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