Explain whether each of the following events shifts the short-run aggregate-supply curve, the aggregate-demand curve, both, or neither. For each event that does shift a curve, use a diagram to illustrate the effect on the economy. a There is a reduction in household income tax. b A cyclone destroys the year’s wheat crop. c Households decide to have less children.

Q: Solve the attachment.

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A:

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Q: The following events shift either aggregate demand, aggregate supply, both or neither. Using a…

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Q: In the following table, determine how each event affects the position of the long-run aggregate…

A: "Since you have asked multiple questions, we will solve the first question for you. If you want any…

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Q: The following graph shows the short-run aggregate supply (SRAS) and aggregate demand (AD) curves for…

A: NOTE: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: Why the slope of the aggregate supply curve differs in the short-run and in the long-run? Why the…

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