suppose you read in the newspaper that rising oil prices would contribute to a global recession. use...

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suppose you read in the newspaper that rising oil prices would contribute to a global recession. use aggregate demand and supply analysis to explain how high oil prices could reduce real GDP.

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suppose you read in the newspaper that rising oil prices would contribute to a global recession. use aggregate demand and supply analysis to explain how high oil prices could reduce real GDP.
Real GDP is determined by aggregate demand and aggregate supply. the level  where theses are equal is the real GDP level in equilibrium.  
AS curve (in the P- Y space) is upward sloping in the short/medium run.

suppose you read in the newspaper that rising oil prices would contribute to a global recession. use aggregate demand and supply analysis to explain how high oil prices could reduce real GDP.

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