Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. economics
  3. discuss the effects of a shock that increases oil

Discuss the effects of a shock that increases oil prices in the AD-AS model. Be sure...

60.1K

Verified Solution

Question

Economics

  • Discuss the effects of a shock that increases oil prices in theAD-AS model. Be sure to also explain the problem ofstagflation.

Answer & Explanation Solved by verified expert
4.4 Ratings (864 Votes)
Higher oil prices will lead to an improvement in the current account position of oil exporters like OPEC countries A marked rise in oil prices will contribute to a higher inflation level This is because transport costs    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Algebra
1.2K views

0 5 For each of the four quadrants give an example of an angle that...

Biology
1.2K views

16. A human nephron A. is one of the two kidneys B. is the functional excretory unit C....

Physics
1.2K views

Interactive LearningWare 22.2 reviews the fundamental approach in problems such as this. A constant magnetic field...

Physics
1.2K views

5 A uniform sphere of mass 500 g rolls without slipping on a plane horizontal...

Physics
1.2K views

PHYSICS A bucket tied at the end of a 1 6 m long string is...

Physics
1.2K views

1 AB is an inclined plane of inclination 30 with horizontal Point O is 20...

Geometry
1.2K views

circle with radius 15 corresponding to an angle of 220 Answer 52 56 Find the...

Calculus
1.2K views

Evaluate the definite integral 4 1 6 5x dx 0

Accounting
1.2K views

the answer is not 400 for the salary and 500 is not the fixed cost...

Accounting
1.2K views

E6-2B. From the following transactions for Yakeru Co., when appropriate, use Exercise...

Accounting
1.2K views

Please solve ASAP The following information is available to reconcile Branch Companys book balance...

Finance
1.2K views

An investment offers $6,900 per year for 10 years, with the first payment occurring one...