Exhibit 16-4

-Refer to Exhibit 16-4.If LRAS₁ shifts to LRAS₂,and this causes AD₁to shift to AD₂,economists would call this a

Name: Exhibit 16-4 -Refer to Exhibit 16-4.If LRAS 1 shifts to LRAS 2 ,and this causes AD 1 to shift to AD 2 ,economists would call this a
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Exhibit 16-4 -Refer to Exhibit 16-4.If LRAS₁ shifts to LRAS₂,and this causes AD₁to shift to AD₂,economists would call this a

Quizplus · Accepted Answer

A shift from LRAS1 to LRAS2 and a corresponding shift in AD is indicative of a real business cycle, which is driven by changes in real factors like technology or resources, affecting both supply and demand.

Exhibit 16-4 -Refer to Exhibit 16-4.If LRAS1 Shifts to LRAS2,and This Causes

Exhibit 16-4 -Refer to Exhibit 16-4.If LRAS₁ Shifts to LRAS₂,and This Causes