Need some help pls...urgent and very important to me to increasee average...
In the U.S. economy, real GDP equals potential GDP. Then the following events occur one at a time:
• A deep recession hits the world economy.
• The world oil price rises by a large amount.
• U.S. businesses expect future profits to fall.
a) Explain the effect of each events on aggregate demand and aggregate supply in the U.S.
b) Explain the effect of each events on the U.S. real GDP and price level.
c) Which event, if any, brings stagflation? Explain how.

Question

Need some help pls...urgent and very important to me to increasee average...
In the U.S. economy, real GDP equals potential GDP. Then the following events occur one at a time:
•	A deep recession hits the world economy.
•	The world oil price rises by a large amount.
•	U.S. businesses expect future profits to fall.
a)	Explain the effect of each events on aggregate demand and aggregate supply in the U.S.
b)	Explain the effect of each events on the U.S. real GDP and price level.
c)	Which event, if any, brings stagflation? Explain how.