Multiple Choice
The SRAS is horizontal at a price level of 2.
-According to the AD-AS model,the economy depicted above has a(n) ___________ gap equal to ___________ in the short run.In the long run,this output gap will be eliminated through a ___________ in the price level to ___________.
A) expansionary;50;rise;4
B) recessionary;50;fall;1
C) expansionary;50;rise;3
D) expansionary;100;rise;4
E) recessionary;100;fall;1
Correct Answer:
Verified
Related Questions