Using aggregate demand and aggregate supply, explain what happens in the short run if the Bank of Canada raises interest rates in the economy.Be sure to detail what happens to aggregate demand, the price level, the level of GDP, and unemployment.Assume that the economy is at full employment before the interest rate increase.

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The Answer of Using aggregate demand and aggregate supply, explain what happens in the short run if the Bank of Canada raises interest rates in the economy.Be sure to detail what happens to aggregate demand, the price level, the level of GDP, and unemployment.Assume that the economy is at full employment before the interest rate increase.

Using Aggregate Demand and Aggregate Supply, Explain What Happens in the Short