...Aggregated demand/supply? I really really really need help on this
Here's what I have to do
1. For each of these situations, decide what effect you think will be felt by either aggregate demand or aggregate supply.
2. Once you have come to a decision, , explain what you think the government policy should be and why.
And here are the questions.
1. A large purchase of wheat by Russia.
2. A reduction in interest rates at each price level.
3. The expectation of a rapid rise in the price level.
4. A 10 percent reduction in personal income tax rates.
I really would appreciate any help I can get. Anything that you can say to help me understand would be great. Please and thank you!!
Here's what I have to do
1. For each of these situations, decide what effect you think will be felt by either aggregate demand or aggregate supply.
2. Once you have come to a decision, , explain what you think the government policy should be and why.
And here are the questions.
1. A large purchase of wheat by Russia.
2. A reduction in interest rates at each price level.
3. The expectation of a rapid rise in the price level.
4. A 10 percent reduction in personal income tax rates.
I really would appreciate any help I can get. Anything that you can say to help me understand would be great. Please and thank you!!