decreases and the real GDP increases When the short run aggregate supply curve

# Decreases and the real gdp increases when the short

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decreasesand the real GDP increasesWhen theshort-run aggregate supply curve decreases and the aggregate demand curve increases they both cause the price level to increase. However, the increase in aggregate demand causes the real GDP to rise while the decrease in the short−run aggregate supply causes it to fall. Since theshort-run aggregate supply shifts by more than aggregatedemand, real GDP will fall. . The current state of the US domestic economy is depicted in the graph.a. Suppose that foreign currencies appreciaterelative to the dollar. Consider the two effects of this change in the value of the dollar bydrawing:
1.) Using the line drawing tool, draw a new aggregate demand curve. Properly label your line.AD WILL SHIFT TO THE RIGHT2.) Using the3-point curved line drawing tool, draw a new SRAS curve. Properly label your curve.Carefully follow the instructionsabove, and only draw the required objects. SRAS WILL SHIFT TO THE LEFTb.Suppose that the curves you drew in the graph shifted by the same proportion. In this case the result would be that The current state of the US domestic economy is depicted in the graph.a. Suppose that foreign currencies depreciaterelative to the dollar. Consider the two effects of this change in the value of the dollar bydrawing:1.) Using the line drawing tool, draw a new aggregate demand curve. Properly label your line.AD WILL SHIFT TO THE LEFT2.) Using the3-point curved line drawing tool, draw a new SRAS curve. Properly label your curve.Carefully follow the instructionsabove, and only draw the required objects. SRAS WILL SHIFT TO THE RIGHTb.Suppose that the curves you drew in the graph shifted by the same proportion. In this case the result would be thatA.
Which of the following is a possible explanation for stickyprices?
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