Multiple Choice
Figure 33-6
-Refer to Figure 33-6. Suppose the economy starts at A. If changes occur that move the economy to a new short-run equilibrium of P1 and Y1 , then it must be the case that
A) short-run aggregate supply has decreased.
B) short-run aggregate supply has increased.
C) aggregate demand has increased.
D) aggregate demand has decreased.
Correct Answer:
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