If taxes fall and foreign income falls, what will happen to output, ceteris paribus?

Define asset market equilibrium and state the asset market equilibrium condition

What will be an ideal response?

Suppose there is a temporary supply shock because of a war in the Middle East, then ________

A) this would constitute a cost push shock due to a restriction in the supply of oil B) the AS curve would shift to the left C) this could theoretically lead to stagflation D) all of the above E) none of the above