One reason why the AD-AS model became popular with economists in the late 1970s and early 1980s is that economists had to find an explanation for ___________,the simultaneous combination of ___________ and ___________ economic activity.
A) recession;rising prices;reduced
B) inflation;rising prices;reduced
C) stagflation;falling prices;reduced
D) stagflation;rising prices;reduced
E) price shocks;rising prices;increased
Correct Answer:
Verified
Q80: Q81: Some European countries such as Ireland have Q82: The AD-AS model in the diagram above Q83: Some European countries such as Ireland have Q84: Stagflation is a combination of Q86: The AD-AS model predicts that,in a country Q87: According to the AD-AS model,the short-run impact Q88: The AD-AS model predicts that,in a country Q89: During a period of stagflation, Q90: In the AD-AS model,stagflation does not persist,because
A) a recessionary
A) output falls
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