(a)Draw an aggregate production curve and explain why you have drawn it as you have.What is its slope?
(b)Draw the aggregate expenditures curve that corresponds to the expenditures function:
E = $2,000 + 0.6Y.Explain why you have drawn it as you have.What is its slope?
(c)Label equilibrium income and explain why income levels above and below are points of disequilibrium.

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The Answer of (a)Draw an aggregate production curve and explain why you have drawn it as you have.What is its slope?
(b)Draw the aggregate expenditures curve that corresponds to the expenditures function:
E = $2,000 + 0.6Y.Explain why you have drawn it as you have.What is its slope?
(c)Label equilibrium income and explain why income levels above and below are points of disequilibrium.

(A)Draw an Aggregate Production Curve and Explain Why You Have