The classical model graphically show a supply shock creating cost-push inflation?

Question

Include a graph of the aggregate labor market as well as one of the aggregate supply and demand of goods. Explain your graphs in terms of a specific example of a supply shock, and indicate both the short-run and long-run effects of supply shock on employment and growth. How the heck do I do this, this doesnt even sound like english to me... any one?

Answer 1

Short-run aggregate supply just shifts left increasing price level - graph is here: http://content.answers.com/main/content/...