-Based on the figure above, short-run equilibrium occurs at the price level of
A) 130 and real GDP of $8 trillion.
B) 140 and real GDP of $12 trillion.
C) 120 and real GDP of $4 trillion.
D) 130 and real GDP of $12 trillion.

Question

-Based on the figure above, short-run equilibrium occurs at the price level of
A) 130 and real GDP of $8 trillion. 
B) 140 and real GDP of $12 trillion. 
C) 120 and real GDP of $4 trillion. 
D) 130 and real GDP of $12 trillion.

Quizplus · Accepted Answer

Short-run equilibrium occurs at the intersection of the aggregate demand curve and the short-run aggregate supply curve. In the figure, this occurs at a price level of 130 and real GDP of $8 trillion.

-Based on the Figure Above, Short-Run Equilibrium Occurs at the Price