Refer to the following figure to answer the next two questions:
-According to the figure,if the economy started at full-employment output,expansionary monetary policy would cause real gross domestic product (GDP) to ______________ in the short run.
A) increase from Y₁ to Y₂
B) increase from Y₁ to Y₃
C) decrease from Y₂ to Y₁
D) decrease from Y₃ to Y₂
E) increase from Y₂ to Y₃
Correct Answer:
Verified
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