Based on your understanding of the aggregate supply and demand model and the IS-LM model, graphically illustrate and explain what effect an increase in the money supply will have on the economy. In...

Based on your understanding of the aggregate supply and demand model and the IS-LM model, graphically illustrate and explain what effect an increase in the money supply will have on the economy. In your graphs, clearly illustrate the short-run and medium-run equilibria.