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Refer to the Graph Above

Question 107

Multiple Choice

  Refer to the graph above. The ratchet effect would suggest that: A)  If AD<sub>1</sub> shifts to AD<sub>2</sub>, the economy would move to point b B)  If AD<sub>1</sub> shifts to AD<sub>2</sub>, the economy would move to point c C)  If AD<sub>2</sub> shifts to AD<sub>1</sub>, the economy would move to point c D)  If AD<sub>2</sub> shifts to AD<sub>1</sub>, the economy would move to point b Refer to the graph above. The ratchet effect would suggest that:


A) If AD1 shifts to AD2, the economy would move to point b
B) If AD1 shifts to AD2, the economy would move to point c
C) If AD2 shifts to AD1, the economy would move to point c
D) If AD2 shifts to AD1, the economy would move to point b

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