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The Short Run Aggregate Supply Curve

Question 66

Multiple Choice

The short run aggregate supply curve:


A) shows the various amounts of real output which businesses will produce at each price level.
B) is downward sloping because real purchasing power increases as the price level falls.
C) contains a vertical range where real output is variable and the price level is constant.
D) is explained by the interest rate, wealth, and foreign trade effects.

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