I have this huge packet of problems to do and I'm kinda confused. If someone explains this problem really well I can probably figure out how to do the rest of them. Thanks! 
Assume that the US economy is currently operating at an equilibrium below full employment. There is a significant increase in the world price of oil, a major production input for the US. Show how the increase in the oil price affects each of the following in the short run.
1. short run aggregate supply
2. real output and price level.
Explain what happens to unemployment in the US in the short run.
Assume that the US economy is currently operating at an equilibrium below full employment. There is a significant increase in the world price of oil, a major production input for the US. Show how the increase in the oil price affects each of the following in the short run.
1. short run aggregate supply
2. real output and price level.
Explain what happens to unemployment in the US in the short run.