- 3 Below Is A Picture Of An Economic Model C A Open Name The Abbrevations On Axises And Curves B Why Las Is Fully V 1 (207.64 KiB) Viewed 41 times
3. Below is a picture of an economic model. C. a. Open/name the abbrevations on axises and curves. b. Why LAS is fully vertical and AS and AD are not? Pls, elaborate. What happens in the model, when an economy faces a negative demand shock? Which curve moves to which direction? Why? d. What policy measures (and how?) can be taken to help the economy to recover back to equilibrium, where AS (or SAS or SRAS) = AD = LAS (or LRAS). What are the effects of the policy measures above on the economy and how these measures are reflected in the curves? Please elaborate. e. LAS Or LRAS Р AS Or SAS or SRAS, depending on your textbook. I AD Y