ADASandthemultiplierworksheet.docx - AD/AS and the...

AD/AS and the Multiplier worksheet
Objective: to demonstrate understanding of the short and long-term effects of certain economic
events on AD and AS, to demonstrate knowledge of the multiplier and ability to calculate it.
1.AD/AS scenarios
# Scenario Graph Analysis
1 Example: World
oil prices has
been decreasing
due to weak
economic activity
all over the world
as well as the US
production of
shale oil doubling
in the last couple
of years. How will
this affect the
economy of a
country?