Exhibit 10-8 Aggregate demand and supply 
In Exhibit 10-8, if aggregate demand shifts from AD1 to AD3,
A) real GDP will increase from $3.0 to $4.0, and the price level will increase from 100 to 140.
B) real GDP will increase from $3.0 to $7.0, and the price level will increase from 100 to 140.
C) real GDP will increase from $3.0 to $4.0, and the price level does not change.
D) real GDP will increase from $3.0 to $7.0, and the price level will increase from 100 to 120.
E) real GDP will not change and the price level will increase from 100 to 140.
Correct Answer:
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Q143: The aggregate demand curve is downward sloping.
Q145: The aggregate demand curve slopes downward because
Q146: Exhibit 10-8 Aggregate demand and supply
Q147: Exhibit 10-8 Aggregate demand and supply
Q148: Exhibit 10-8 Aggregate demand and supply
Q149: Exhibit 10-5 Aggregate demand curves 
Q150: Exhibit 10-6 Aggregate supply curve
Q152: Exhibit 10-8 Aggregate demand and supply
Q154: Exhibit 10-8 Aggregate demand and supply
Q156: Exhibit 10-4 Aggregate supply and demand curves
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