Question 17 How does the economic shock described below affect equili.pdf

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The document describes three economic shocks and asks how each would affect equilibrium output and prices in the short-run and long-run according to the Aggregate Demand-Aggregate Supply model. The first shock is a large increase in commodity prices which would likely decrease output and increase prices in the short-run. The second shock is more Canadians vacationing and shopping domestically which would increase aggregate demand and output in the short-run. The third shock discusses new energy technologies which would decrease costs and increase output in the long-run.

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Question 17 How does the economic shock described below affect equilibrium output and
product prices in the Aggregate Demand-Aggregate Supply model? 2 points Short-run effect of a
large increase in commodity (input) prices for businesses: Question 18 How does the economic
shock described below affect equilibrium output and product prices in the Aggregate Demand-
Aggregate Supply model? 2 points Short-run effect of an increased number of Canadians
vacationing and shopping at home: Question 19 How does the economic shock described below
affect equilibrium output and product prices in the Aggregate Demand-Aggregate Supply model?
2 points Long-run effect of new and improved technologies in the energy sector:

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