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Diagram 1 ​ Refer to Diagram 1 Above, a Shift

Question 11

Multiple Choice

Diagram 1 Diagram 1 ​ Refer to Diagram 1 above, a shift in aggregate demand would lead to a substantial drop in inflation and for a moderate decline in national income in the case of: A) AD<sub>4</sub> to AD<sub>3</sub> B) AD<sub>2</sub> to AD<sub>3</sub> C) AD<sub>4</sub> to AD<sub>5</sub> D) AD<sub>5</sub> to AD<sub>4</sub> ​ Refer to Diagram 1 above, a shift in aggregate demand would lead to a substantial drop in inflation and for a moderate decline in national income in the case of:


A) AD4 to AD3
B) AD2 to AD3
C) AD4 to AD5
D) AD5 to AD4

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