-The AD-AS model in the diagram above shows that at the initial short-run equilibrium point B,the economy is experiencing ___________ gap.Starting from point B,an increase in government purchases that shifts the aggregate demand curve from AD to AD' will lead to the long-run equilibrium at point C,thus raising output at a ___________ price level.

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-The AD-AS model in the diagram above shows that at the initial short-run equilibrium point B,the economy is experiencing ___________ gap.Starting from point B,an increase in government purchases that shifts the aggregate demand curve from AD to AD' will lead to the long-run equilibrium at point C,thus raising output at a ___________ price level.

-The AD-AS Model in the Diagram Above Shows That at the Initial