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Answer the Next Six Questions on the Basis of the Following

Question 42

Multiple Choice

Answer the next six questions on the basis of the following diagram.
Answer the next six questions on the basis of the following diagram.    -When the aggregate demand shifts from AD<sub>2</sub> to AD<sub>3</sub>: A)  full employment is achieved B)  the budget will balance C)  the economy moves toward recession D)  real output and the price level increase
-When the aggregate demand shifts from AD2 to AD3:


A) full employment is achieved
B) the budget will balance
C) the economy moves toward recession
D) real output and the price level increase

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