Figure 14-1
-Refer to Figure 14-1. If the economy starts at C and there is an increase in aggregate demand, what happens to the economy in the long run?
A) It moves to D and then back to C.
B) It moves to B and then to A.
C) It moves to D and then to A.
D) It moves to B and then back to C.
Correct Answer:
Verified
Q133: Figure 14-1 Q134: Which of the following shifts both the Q135: How are the effects of an increase Q136: Figure 14-1 Q137: What would cause prices and real GDP Q139: What would cause prices and real GDP Q140: Which statement is consistent with the theory Q141: Scenario 14-1 Q142: Suppose a shift in aggregate demand creates Q143: What were the changes in output in
The economy is in long-run equilibrium.
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