Each of the panels given below represents the short-run equilibrium in the U.S. economy. The Aggregate Demand and Aggregate Supply curves in each panel responds to various economic changes.
Figure 8.1

-Refer to Figure 8.1. Which of the graphs in the figure best describes the impact of lower real income in Germany on U.S. equilibrium real GDP and the U.S. equilibrium price level?
A) Panel A
B) Panel B
C) Panel C
D) Panel D
E) Panel E

Question

Each of the panels given below represents the short-run equilibrium in the U.S. economy. The Aggregate Demand and Aggregate Supply curves in each panel responds to various economic changes.
Figure 8.1
 
-Refer to Figure 8.1. Which of the graphs in the figure best describes the impact of lower real income in Germany on U.S. equilibrium real GDP and the U.S. equilibrium price level?
A) Panel A 
B) Panel B 
C) Panel C 
D) Panel D 
E) Panel E

Quizplus · Accepted Answer

The Answer of Each of the panels given below represents the short-run equilibrium in the U.S. economy. The Aggregate Demand and Aggregate Supply curves in each panel responds to various economic changes.
Figure 8.1
 
-Refer to Figure 8.1. Which of the graphs in the figure best describes the impact of lower real income in Germany on U.S. equilibrium real GDP and the U.S. equilibrium price level?
A) Panel A 
B) Panel B 
C) Panel C 
D) Panel D 
E) Panel E

Each of the Panels Given Below Represents the Short-Run Equilibrium