Use the figure below to answer the following question(s).
Figure 9-2
-The output of the economy depicted in Figure 9-2 is
A)equal to the full-employment output.
B)greater than the full-employment output.
C)less than the full-employment output.
D)not sustainable in the long run.

Question

Use the figure below to answer the following question(s).
Figure 9-2 
-The output of the economy depicted in Figure 9-2 is
A)equal to the full-employment output. 
B)greater than the full-employment output. 
C)less than the full-employment output. 
D)not sustainable in the long run.

Quizplus · Accepted Answer

The economy is operating at full employment, as indicated by the intersection of the aggregate demand (AD) and aggregate supply (AS) curves at point E.

Use the Figure Below to Answer the Following Question(s)