The aggregate supply and aggregate demand model below provides insights into the causes of the Great Depression of the 1930s. Indicate points 1 and 2 and whether price level increases or decreases when aggregate demand changes from AD₁ to AD₂. A) Point 1 is the booming of 1920s, point 2 is the depression of 1930s; price level decreases B) Point 1 is the booming of 1920s, point 2 is the depression of 1930s; price level increases C) Point 1 is the depression of 1930s, point 2 is the booming of 1920s; price level decreases D) Point 1 is the depression of 1930s, point 2 is the booming of 1920s; price level increases

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The Answer is A

The Aggregate Supply and Aggregate Demand Model Below Provides Insights