Final answer:
When the AS Curve shifts downward and to the right, it results in lower unemployment and lower inflation, often due to a positive supply shock like a decrease in energy prices.
Step-by-step explanation:
When the Aggregate Supply (AS) Curve shifts downward and to the right, unemployment decreases and inflation decreases. This movement is a result of factors such as a decrease in energy prices or a positive supply shock, leading to an increase in real GDP at a lower price level. Such a shift would also cause the Phillips curve to move downward towards the origin, indicating the concurrent decrease in both unemployment and inflation. Furthermore, in the short-run aggregate supply (SRAS)'s intermediate zone, shifts in the Aggregate Demand (AD) can lead to opposing movements in unemployment and inflation, but a rightward shift of the SRAS itself consistently leads to economic expansion and reduction in price levels.