The following table to answer the following questions.
Price Level AS AD
90 3000 3500
95 3000 3000
100 3000 2500
105 3000 2200
110 3000 2100
1) What is the equilibrium output and price level?
2) If aggregate demand shifts right, what is equilibrium output?
3) If aggregate demand shifts left, what is equilibrium output?
4) In this scenario, would you suggest using aggregate demand to alter the level of output or to control any inflationary increases in the price level?