Aggregate Demand and Supply Models
...aggregate equilibrium between supply and demand. The government should, therefore, develop measures to influence this non-price factors affecting demand. The economy will hence operate at equilibrium by avoiding surpluses or scarcity.
Boyes, W. & Melvin, M. (2013). Macroeconomics, 9th Ed. Mason, OH: South-Western Cengage Learning.
Tucker, I. (2010). Macroeconomics for Today, 6th Ed. Mason, OH: South-Western Cengage Learning.... and hence achieve increased production which means an increase in supply (Boyes & Melvin, 2013). A change in the rate of unemployment will hence result to a change in the demand and supply hence affecting the equilibrium...